S&P CNX Nifty exhibited a smart performance by surging above two a percent on Tuesday. Market made positive start, as US Trade Representative Katherine Tai, after meeting Union Minister of Commerce and Industry Piyush Goyal, said India and the United States will look at ways to expand its trade relations and cooperate on pending bilateral issues. Further, market added more points, as amid uncertainty created by a surge in coronavirus cases, the Reserve Bank of India (RBI) is likely to maintain the status quo at its next monetary policy review and wait for some more time before taking any action to spur growth. The RBI is slated to announce its first bi-monthly monetary policy of 2021-22 fiscal on April 7, 2021, after a three-day meeting of the Monetary Policy Committee (MPC) headed by RBI Governor Shaktikanta Das. Meanwhile, Reserve Bank of India (RBI) has said that banks will conduct special clearing operations for the annual closure of government accounts on March 31, which is the last day of the current fiscal year.
In the late afternoon session, market touched its intraday high point, as Union Minister Piyush Goyal has said that India will be able to overtake China in its engagement with Bangladesh. He said India has been working relentlessly to build strong relations with all its neighbouring countries. He also said India's ability to add more value to the products and services has helped it expand trade ties with countries like Bangladesh. However, he added that India does not hold a grudge against any country for its engagement with anybody else and focuses only on what it can do with that country better.
Most of the sectoral indices ended in green except Realty. The top gainers from the F&O segment were AU Small Finance Bank, Navin Fluorine International and Mphasis. On the other hand, the top losers were PFC, M&M Fin and Info Edge (India). In the index option segment, maximum OI continues to be seen in the 14700 - 16700 calls and 13,900 - 14,600 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility decreased by 0.62% and reached 20.52. The 50 share Nifty up by 337.80 points or 2.33% to settle at 14,845.10.
Nifty April 2021 futures closed at 14917.00 (LTP) on Tuesday, at a premium of 71.90 points over spot closing of 14845.10, while Nifty May 2021 futures ended at 14959.50 (LTP), at a premium of 114.40 points over spot closing. Nifty April futures saw an addition of 27,264 units, taking the total open interest (Contracts) to 1,48,908 units. The near month derivatives contract will expire on April 29, 2021 (Provisional).
From the most active contracts, Reliance Industries April 2021 futures traded at a premium of 8.95 points at 2040.85 (LTP) compared with spot closing of 2031.90. The numbers of contracts traded were 35,210 (Provisional).
HDFC Bank April 2021 futures traded at a discount of 1.85 points at 1546.95 (LTP) compared with spot closing of 1548.80. The numbers of contracts traded were 23,007 (Provisional).
ICICI Bank April 2021 futures traded at a premium of 3.25 points at 594.85 (LTP) compared with spot closing of 591.60. The numbers of contracts traded were 20,350 (Provisional).
Tata Steel April 2021 futures traded at a premium of 4.00 points at 803.50 (LTP) compared with spot closing of 799.50. The numbers of contracts traded were 18,635 (Provisional).
Axis Bank April 2021 futures traded at a premium of 5.35 points at 702.15 (LTP) compared with spot closing of 696.80. The numbers of contracts traded were 18,378 (Provisional).
Among, Nifty calls, 15000 SP from the April month expiry was the most active call with an addition of 883 units open interests. Among Nifty puts, 14000 SP from the April month expiry was the most active put with an addition of 6,840 units open interests. The maximum OI outstanding for Calls was at 15000 SP (28,320 units) and that for Puts was at 14000 SP (48,289 units). The respective Support and Resistance levels of Nifty are: Resistance 14,941.73 -- Pivot Point 14,779.67 -- Support -- 14,683.03.
The Nifty Put Call Ratio (PCR) finally stood at (1.66) for April month contract. The top five scrips with highest PCR on BOSCH (1.97), L&T Technology Services (1.77), Siemens (1.44), PVR (1.31) and SBI Life (1.17).
Among most active underlying, Tata Steel witnessed an addition of 1,636 units of Open Interest in the April month futures contract followed HDFC Bank witnessed an addition of 5,385 units of Open Interest in the April month futures contract, SBIN witnessed an addition of 1,492 units of Open Interest in the April month futures contract, Reliance Industries witnessed an addition of 2,867 units of Open Interest in the April month futures contract and ICICI Bank witnessed an addition of 2,332 units of Open Interest in the April month futures contract (Provisional).
