Nifty snapped the day’s trade in the red, below its crucial 14750 level. Market made negative start, as India reported 47,009 fresh Covid-19 cases today pushing the overall tally to 11,645,719, according to Worldometer. With this, India has registered its highest daily spike of 2021. Further, market continued its weak trade throughout the day, as the year-long pandemic left households more indebted, which has sharply jumped to 37.1 percent of GDP in Q2 of FY21, while their savings rate plunged to a low 10.4 percent, according to the latest data from the Reserve Bank. The household savings plunged as the pandemic has led to tens of millions losing jobs and almost all forced to take deep pay-cuts, forcing them to borrow more or dip into their savings to meet expenses. Traders failed to took support with Sebi data showing that investments through participatory notes (P-notes) in the Indian capital market rose to Rs 91,658 crore at February-end, making it the highest level in 33 months, suggesting growing confidence of overseas investors. Adding to the pessimism, report states that the International Monetary Fund pointed to emerging signs of a stronger global economic recovery, but warned that significant risks remained, including the emergence of mutations of the coronavirus.
Traders were seen piling positions in FMGC, IT and Metal sector while selling was witnessed in Media, PSU Bank and Private Bank sector stocks. The top gainers from the F&O segment were Adani Enterprises, Godrej Properties and ACC. On the other hand, the top losers were Power Grid Corporation, NMDC and Indusind Bank. In the index option segment, maximum OI continues to be seen in the 14700 - 16700 calls and 14,000 - 14,600 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility increased by 2.52% and reached 20.49. The 50 share Nifty down by 7.60 points or 0.05% to settle at 14,736.40.
Nifty March 2021 futures closed at 14755.05 (LTP) on Monday, at a premium of 18.65 points over spot closing of 14736.40, while Nifty April 2021 futures ended at 14843.00 (LTP), at a premium of 106.60 points over spot closing. Nifty March futures saw an contraction of 925 units, taking the total open interest (Contracts) to 1,16,163 units. The near month derivatives contract will expire on March 25, 2021(Provisional).
From the most active contracts, Reliance Industries March 2021 futures traded at a premium of 4.15 points at 2065.15 (LTP) compared with spot closing of 2061.00. The numbers of contracts traded were 43,348 (Provisional).
ICICI Bank March 2021 futures traded at a premium of 1.55 points at 575.30 (LTP) compared with spot closing of 573.75. The numbers of contracts traded were 37,926 (Provisional).
HDFC Bank March 2021 futures traded at a premium of 2.90 points at 1476.80 (LTP) compared with spot closing of 1473.90. The numbers of contracts traded were 23,484 (Provisional).
Adani Ports March 2021 futures traded at a premium of 1.35 points at 723.10 (LTP) compared with spot closing of 721.75. The numbers of contracts traded were 20,271 (Provisional).
Infosys March 2021 futures traded at a premium of 2.85 points at 1374.35 (LTP) compared with spot closing of 1371.50. The numbers of contracts traded were 19,260 (Provisional).
Among, Nifty calls, 15000 SP from the March month expiry was the most active call with a contraction of 13,699 units open interests. Among Nifty puts, 14500 SP from the March month expiry was the most active put with an addition of 1,702 units open interests. The maximum OI outstanding for Calls was at 15000 SP (58,133 units) and that for Puts was at 14500 SP (56,737 units). The respective Support and Resistance levels of Nifty are: Resistance 14,800.92 -- Pivot Point 14,699.38 -- Support -- 14,634.87.
The Nifty Put Call Ratio (PCR) finally stood at (0.91) for March month contract. The top five scrips with highest PCR on Hindalco (1.11), PVR (1.11), Infosys (0.98), Hindustan Unilever (0.92) and Adani Enterprises (0.89).
Among most active underlying, Adani Ports witnessed a contraction of 2,107 units of Open Interest in the March month futures contract followed ICICI Bank witnessed an addition of 6,150 units of Open Interest in the March month futures contract, Adani Enterprises witnessed a contraction of 27 units of Open Interest in the March month futures contract, Reliance Industries witnessed an addition of 1,790 units of Open Interest in the March month futures and SBIN witnessed an addition of 1,912 units of Open Interest in the March month futures contract (Provisional).
