S&P CNX --Nifty-- resumed its southbound journey on Wednesday and ended the last trading day of FY21 with the cut of above a percent. Market made negative start, as India has recorded 53,158 cases recorded in the last 24 hours. With the latest addition, the country's tally has soared to 12,148,487, Worldometer showed this morning. With active cases hitting 553,933, India is now the 6th-worst hit country. The death toll from the deadly infection jumped to 162,502. Further, market added more losses, as India’s economy has bounced back amazingly from the COVID-19 pandemic and nationwide lockdown over the last one year, but it is not out of the woods yet, according to the World Bank, which in its latest report has predicted that the country’s real GDP growth for fiscal year 21/22 could range from 7.5 to 12.5 per cent.
Sentiments remained pessimistic till the end of the session, as Moody's Analytics stated that India's inflation is at uncomfortably high level, which is an exception among Asian economies. It said higher fuel prices will keep upward pressure on retail inflation and keep the RBI from offering further rate cuts. Retail inflation rose to 5 per cent in February, from 4.1 per cent in January. Finally, Nifty ended the trade below 14700 mark, as a report by the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP) stated that India's economic output in 2021 is expected to remain below the 2019 level despite roll-out of the vaccine to deal with the menace of the coronavirus pandemic.
Traders were seen piling positions in Media, Pharma and PSU Bank sector while selling was witnessed in Bank, Auto and IT sector stocks. The top gainers from the F&O segment were Godrej Properties, Canara Bank and Dr. Lal PathLabs. On the other hand, the top losers were HDFC, IDFC First Bank and AU Small Finance Bank. 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 increased by 0.78% and reached 20.65. The 50 share Nifty down by 154.40 points or 1.04% to settle at 14,690.70.
Nifty April 2021 futures closed at 14762.50 (LTP) on Wednesday, at a premium of 71.80 points over spot closing of 14690.70, while Nifty May 2021 futures ended at 14815.00 (LTP), at a premium of 124.30 points over spot closing. Nifty April futures saw an addition of 1,903 units, taking the total open interest (Contracts) to 1,50,785 units. The near month derivatives contract will expire on April 29, 2021 (Provisional).
From the most active contracts, HDFC Bank April 2021 futures traded at a premium of 5.25 points at 1499.65 (LTP) compared with spot closing of 1494.40. The numbers of contracts traded were 29,433 (Provisional).
Reliance Industries April 2021 futures traded at a premium of 14.25 points at 2019.90 (LTP) compared with spot closing of 2005.65. The numbers of contracts traded were 26,236 (Provisional).
Tata Steel April 2021 futures traded at a premium of 2.95 points at 821.35 (LTP) compared with spot closing of 818.40. The numbers of contracts traded were 21,066 (Provisional).
SBIN April 2021 futures traded at a premium of 2.05 points at 366.55 (LTP) compared with spot closing of 364.50. The numbers of contracts traded were 19,273 (Provisional).
ICICI Bank April 2021 futures traded at a premium of 3.95 points at 586.70 (LTP) compared with spot closing of 582.75. The numbers of contracts traded were 15,641 (Provisional).
Among, Nifty calls, 15000 SP from the April month expiry was the most active call with an addition of 376 units open interests. Among Nifty puts, 14500 SP from the April month expiry was the most active put with a contraction of 1,394 units open interests. The maximum OI outstanding for Calls was at 15000 SP (28,677 units) and that for Puts was at 14000 SP (49,534 units). The respective Support and Resistance levels of Nifty are: Resistance 14,779.55 -- Pivot Point 14,724.90 -- Support -- 14,636.05.
The Nifty Put Call Ratio (PCR) finally stood at (1.61) for April month contract. The top five scrips with highest PCR on BOSCH (2.33), Siemens (1.30), PVR (1.27),SBI Life (1.19) and L&T Technology Services (1.18).
Among most active underlying, Tata Steel witnessed a contraction of 7 units of Open Interest in the April month futures contract followed HDFC Bank witnessed an addition of 6,636 units of Open Interest in the April month futures contract, SBIN witnessed an addition of 474 units of Open Interest in the April month futures contract, Tata Motors witnessed an addition of 253 units of Open Interest in the April month futures contract and Reliance Industries witnessed an addition of 3,330 units of Open Interest in the April month futures contract (Provisional).
