NSE benchmark index -- Nifty -- witnessed powerful performance by ending the session at fresh record highs on Monday. Market made cautious start with the report that the Reserve Bank of India’s (RBI) data showing that the country's foreign exchange reserves declined $469 million to $574.821 billion in the week ended November 27, after touching a lifetime high in previous week. However, market soon gained traction, as traders found support with Niti Aayog vice chairman Rajiv Kumar’s statement that India's economic growth is likely to reach pre-COVID-19 levels by the end of the 2021-22 fiscal as the GDP contraction in this financial year is expected to be less than 8 per cent. Index continued its trade in green territory, as DPIIT data showed that foreign direct investment (FDI) equity inflows into India crossed the $500 billion milestone during April 2000 to September 2020 period. The inflows during the period stood at $500.12 billion. In late afternoon session, traders’ sentiments were largely positive to trade above 13325 mark, as Reserve Bank of India in its latest report has showed that bank credit grew at 5.82 percent to Rs 104.34 lakh crore, while deposits rose by 10.89 percent to Rs 143.71 lakh crore in the fortnight ended November 20. In the fortnight ended November 22, 2019, bank credit stood at Rs 98.60 lakh crore and deposits at Rs 129.58 lakh crore.
Most of the sectoral indices ended in green except realty. The top gainers from the F&O segment were Shriram Transport Finance Company, Canara Bank and Glenmark Pharmaceuticals. On the other hand, the top losers were Escorts, DLF and Cholamandalam Investment and Finance. In the index option segment, maximum OI continues to be seen in the 12500 - 13,700 calls and 11,900 - 13,000 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility ended flat with its previous close of 18.03.The 50 share Nifty up by 124.65 points or 0.95% to settle at 13,258.55.
Nifty December 2020 futures closed at 13382.80 (LTP) on Monday, at a premium of 124.25 points over spot closing of 13258.55, while Nifty January 2021 futures ended at 13415.00 (LTP), at a premium of 156.45 points over spot closing. Nifty December futures saw an addition of 3,167 units, taking the total open interest (Contracts) to 1,70,254 units. The near month derivatives contract will expire on December 31, 2020 (Provisional).
From the most active contracts, ICICI Bank December 2020 futures traded at a premium of 1.15 points at 510.15 (LTP) compared with spot closing of 509.00. The numbers of contracts traded were 30,380 (Provisional).
SBIN December 2020 futures traded at a premium of 0.55 points at 270.05 (LTP) compared with spot closing of 269.50. The numbers of contracts traded were 27,411 (Provisional).
Dr Reddy's December 2020 futures traded at a premium of 24.55 points at 5053.00 (LTP) compared with spot closing of 5028.45. The numbers of contracts traded were 21,510 (Provisional).
HDFC Bank December 2020 futures traded at a premium of 6.15 points at 1381.65 (LTP) compared with spot closing of 1375.50. The numbers of contracts traded were 20,724 (Provisional).
Axis Bank December 2020 futures traded at a premium of 2.40 points at 617.40 (LTP) compared with spot closing of 615.00. The numbers of contracts traded were 20,421 (Provisional).
Among, Nifty calls, 13500 SP from the December month expiry was the most active call with an addtion of 2,014 units open interests. Among Nifty puts, 13000 SP from the December month expiry was the most active put with an addition of 2,477 units open interests. The maximum OI outstanding for Calls was at 13500 SP (27,144 units) and that for Puts was at 12000 SP (45,857 units). The respective Support and Resistance levels of Nifty are: Resistance 13,336.15 -- Pivot Point 13,289.05 -- Support -- 13,211.45.
The Nifty Put Call Ratio (PCR) finally stood at (1.78) for December month contract. The top five scrips with highest PCR on Asian Paints (1.46), SBIN (1.20), Tata steel (1.14), Indusind Bank (1.00) and Bajaj Finserv (0.99).
Among most active underlying, SBIN witnessed an addition of 1,931 units of Open Interest in the December month futures contract followed ICICI Bank witnessed an addition of 2,552 units of Open Interest in the December month futures contract, Bharti Airtel witnessed an addition of 1,053 units of Open Interest in the December month futures contract, Bajaj Finance witnessed an addition of 91 units of Open Interest in the December month futures contract and Reliance Industries witnessed an addition of 1,455 units of Open Interest in the December month futures contract (Provisional).
