Nifty turned previous session’s northward journey to south-bound journey and ended the day’s trade with the cut of quarter a percent. Market started the session on positive note, but soon turned volatile, as anxiety came among the investors with Commerce and Industry Minister Piyush Goyal’s statement that the government did not join the mega free trade agreement RCEP as the grouping did not address the outstanding issues and concerns of India. Traders paid no heed to the report that the government approved amendments proposed to the Toll Operate Transfer (TOT) model for national highways. The Centre approved the Code on Industrial Relations (IR) Bill, 2019 - considered to be the most contentious labour law amendments.
However, market pared some of its initial losses in noon deals to trade near neutral line, as investors got some relief with the Reserve Bank of India’s (RBI) latest data report which stated that bank credit rose by 8.07 percent to Rs 98.47 trillion, while deposits grew 9.92 percent to Rs 129.98 trillion in the fortnight ended November 6. But, last hour sell-off pushed the index to end the trading session near intraday low point, as market participants remain concerned with a private report stating that India’s economic growth probably hit a new low last quarter, with early forecasts showing expansion below 5%.
Most of the NSE sectoral indices ended in red, except Media, Realty and Financial services. The top gainers from the F&O segment Indiabulls Housing Finance, Zee Entertainment Enterprises and Bosch. On the other hand, the top losers were Motherson Sumi Systems, Bharat Petroleum Corporation and Dish TV India. In the index option segment, maximum OI continues to be seen in the 11800 - 12,300 calls and 11,700 - 12,200 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility decreased by 1.22% and reached 14.97.The 50 share Nifty was down by 30.70 points or 0.26% to settle at 11,968.40.
Nifty November 2019 futures closed at 11971.20 (LTP) on Thursday, at a premium of 2.80 points over spot closing of 11968.40, while Nifty December 2019 futures ended at 12019.00 (LTP), at a premium of 50.60 points over spot closing. Nifty November futures saw an addition of 0.04 million (mn) units, taking the total outstanding open interest (OI) to 14.98 mn units. The near month derivatives contract will expire on November 28, 2019 (Provisional).
From the most active contracts, Zee Entertainment Enterprises November 2019 futures traded at a discount of 3.20 points at 339.80 (LTP) compared with spot closing of 343.00. The numbers of contracts traded were 89,482 (Provisional).
Indiabulls Housing Finance November 2019 futures traded at a discount of 0.40 points at 232.30 (LTP) compared with spot closing of 232.70. The numbers of contracts traded were 51,201 (Provisional).
Yes Bank November 2019 futures traded at a discount of 0.30 points at 63.50 (LTP) compared with spot closing of 63.80. The numbers of contracts traded were 42,515 (Provisional).
ICICI Bank November 2019 futures traded at a discount of 1.00 points at 498.00 (LTP) compared with spot closing of 499.00. The numbers of contracts traded were 25,970 (Provisional).
State Bank of India November 2019 futures traded at a discount of 0.30 points at 331.65 (LTP) compared with spot closing of 331.95. The numbers of contracts traded were 22,092 (Provisional).
Among, Nifty calls, 12000 SP from the November month expiry was the most active call with an addition of 13.62 million open interests. Among Nifty puts, 12000 from the November month expiry was the most active put with an addition of 0.50 units open interests. The maximum OI outstanding for Calls was at 12000 SP (3.82 mn) and that for Puts was at 11,900 SP (2.89 mn). The respective Support and Resistance levels of Nifty are: Resistance 12,012.10 -- Pivot Point 11,984.50 -- Support -- 11,940.80.
The Nifty Put Call Ratio (PCR) finally stood at 1.22 for November month contract. The top five scrips with highest PCR on Bharti Airtel (1.68), Bajaj Finserv (1.29), Bajaj Finance (1.21), Indusind Bank (1.12) and Union Bank of India (1.08).
Among most active underlying, Zee Entertainment Enterprises witnessed an addition of 11.75 million units of Open Interest in the November month futures contract, followed by Reliance Industries witnessing an addition of 0.80 million units of Open Interest in the November month contract, State Bank of India witnessed an addition of 1.86 million units of Open Interest in the November month contract, Bharat Petroleum Corporation witnessed an addition of 0.49 million units of Open Interest in the November month contract and ICICI Bank witnessed an addition of 4.10 million units of Open Interest in the November month future contract (Provisional).
