S&P CNX -- Nifty -- finished the first day of FY22 with the gains of above a percent. Market made a positive start, as traders found support with Reserve Bank data showing that India's current account deficit narrowed to $1.7 billion or 0.2 per cent of the GDP in the December quarter as against $2.6 billion or 0.4 per cent of GDP in the year-ago period. Index maintained its gains, as government asked the Reserve Bank to maintain retail inflation at 4 per cent with a margin of 2 per cent on either side for another five-year period ending March 2026. To control the price rise, the government in 2016 gave a mandate to the RBI to keep the retail inflation at 4 per cent with a margin of 2 per cent on either side for a five-year period ending March 31, 2021. In late afternoon session, market added more points, after finance ministry said that GST collections grew to a record high of Rs 1.23 lakh crore in March 2021, crossing the Rs 1 lakh crore-mark for the sixth month straight, indicating rapid economic recovery post-pandemic. Some support also came in as the foreign portfolio investors (FPI) have pumped in more than Rs 2.75 lakh crore ($37 billion) in the Indian equity market during FY2020-2021. This is the highest ever investment by foreign investors into Indian equities in the last two decades. Finally, Nifty ended the day’s trade above 14850 mark.
Most of the sectoral indices ended in green except FMGC. The top gainers from the F&O segment were Vodafone Idea, National Aluminium Company and JSW Steel. On the other hand, the top losers were HUL, Mphasis and Cummins 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 3.18% and reached 19.99. The 50 share Nifty up by 176.65 points or 1.20% to settle at 14,867.35.
Nifty April 2021 futures closed at 14936.05 (LTP) on Thursday, at a premium of 68.70 points over spot closing of 14867.35, while Nifty May 2021 futures ended at 14988.95 (LTP), at a premium of 121.60 points over spot closing. Nifty April futures saw a contraction of 4,020 units, taking the total open interest (Contracts) to 1,47,786 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 11.50 points at 1504.00 (LTP) compared with spot closing of 1492.50. The numbers of contracts traded were 30,214 (Provisional).
Tata Steel April 2021 futures traded at a premium of 4.10 points at 863.00 (LTP) compared with spot closing of 858.90. The numbers of contracts traded were 26,408 (Provisional).
Reliance Industries April 2021 futures traded at a premium of 14.90 points at 2034.90 (LTP) compared with spot closing of 2020.00. The numbers of contracts traded were 23,345 (Provisional).
ICICI Bank April 2021 futures traded at a premium of 4.25 points at 599.00 (LTP) compared with spot closing of 594.75. The numbers of contracts traded were 17,159 (Provisional).
SBIN April 2021 futures traded at a premium of 2.80 points at 373.75 (LTP) compared with spot closing of 370.95. The numbers of contracts traded were 16,573 (Provisional).
Among, Nifty calls, 15000 SP from the April month expiry was the most active call with a contraction of 1,226 units open interests. Among Nifty puts, 14500 SP from the April month expiry was the most active put with an addition of 1,654 units open interests. The maximum OI outstanding for Calls was at 15000 SP (27,413 units) and that for Puts was at 14000 SP (52,233 units). The respective Support and Resistance levels of Nifty are: Resistance 14,936.22 -- Pivot Point 14,814.33 -- Support -- 14,745.47.
The Nifty Put Call Ratio (PCR) finally stood at (1.66) for April month contract. The top five scrips with highest PCR on BOSCH (2.20), Trent (1.87), PVR (1.27), SBI Life (1.18) and Tata Steel (1.15).
Among most active underlying, Tata Steel witnessed an addition of 1,340 units of Open Interest in the April month futures contract followed HDFC Bank witnessed an addition of 4,971 units of Open Interest in the April month futures contract, Tata Motors witnessed an addition of 51 units of Open Interest in the April month futures contract, Adani Enterprises witnessed a contraction of 255 units of Open Interest in the April month futures contract and JSW steel witnessed an addition of 818 units of Open Interest in the April month futures contract (Provisional).
