Nifty ended last trading day of week above its crucial 16700 mark. Market made cautious start amid uncertainty about U.S. monetary policy and geopolitical tensions over Afghanistan. Further, market soon entered into green, as Reserve Bank extended the scheme for encouraging deployment of Point of Sale (PoS) infrastructure to street vendors covered under the PM SVANidhi programme in tier 1 and 2 centres. Further, market extended its gains with private report stating that hiring activity witnessed an overall 4 per cent sequential growth in July and the uptick was mainly spread across metros. It said compared to June, July 2021 saw a notable overall monthly growth of 4 per cent in hiring across all metros.
Market continued its higher trade till the end as traders took support after private report stated that India and Australia are looking at announcing an early harvest trade deal by December. An early harvest agreement will be the way forward for an early conclusion of a bilateral Comprehensive Economic Cooperation Agreement (CECA) between both countries. Till now, there have been three rounds of talks between the chief trade negotiators of both nations.
All the sectoral indices ended in green. The top gainers from the F&O segment were Navin Fluorine International, National Aluminium Company and Hindustan Aeronautics. On the other hand, the top losers were Cholamandalam Investment, IPCA Laboratories and AU Small Finance Bank. In the index option segment, maximum OI continues to be seen in the 16900 -17200 calls and 15900 -16100 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 0.97% and reached 13.41. The 50 share Nifty up by 68.30 points or 0.41% to settle at 16,705.20.
Nifty September 2021 futures closed at 16714.30 (LTP) on Friday, at a premium of 9.10 points over spot closing of 16705.20, while Nifty October 2021 futures ended at 16737.00 (LTP), at a premium of 31.80 points over spot closing. Nifty September futures saw an addition of 1,55,562 units, taking the total open interest (Contracts) to 2,72,503 units. The near month derivatives contract will expire on September 30, 2021 (Provisional).
From the most active contracts, Reliance Industries September 2021 futures traded at a premium of 7.00 points at 2232.00 (LTP) compared with spot closing of 2225.00. The numbers of contracts traded were 20,820 (Provisional).
Bharti Airtel September 2021 futures traded at a premium of 0.80 points at 589.25 (LTP) compared with spot closing of 588.45. The numbers of contracts traded were 16,617 (Provisional).
SBIN September 2021 futures traded at a premium of 0.50 points at 412.00 (LTP) compared with spot closing of 411.50. The numbers of contracts traded were 14,280 (Provisional).
Tata Steel September 2021 futures traded at a premium of 3.20 points at 1385.60 (LTP) compared with spot closing of 1382.40. The numbers of contracts traded were 13,035 (Provisional).
TCS September 2021 futures traded at a premium of 6.00 points at 3721.00 (LTP) compared with spot closing of 3715.00. The numbers of contracts traded were 12,824 (Provisional).
Among, Nifty calls, 17000 SP from the September month expiry was the most active call with an addition of 8,609 units open interests. Among Nifty puts, 16600 SP from the September month expiry was the most active put with an addition of 11,843 units open interests. The maximum OI outstanding for Calls was at 17000 SP (36,308 units) and that for Puts was at 16000 SP (56,382 units). The respective Support and Resistance levels of Nifty are: Resistance 16,762.97 -- Pivot Point 16,664.28 -- Support -- 16,606.52.
The Nifty Put Call Ratio (PCR) finally stood at (1.50) for September month contract. The top five scrips with highest PCR on City Union Bank (0.97), TCS (0.95), Hero Motocorp (0.90), RBL Bank (0.88) and Indus Tower (0.85).
Among most active underlying, Bharti Airtel witnessed an addition of 17,332 units of Open Interest in the September month futures contract, Adani Enterprises witnessed an addition of 6,599 units of Open Interest in the September month futures contract, Tata Steel witnessed an addition of 15,799 units of Open Interest in the September month futures contract, TCS witnessed an addition of 13,038 units of Open Interest in the September month futures contract and L&T witnessed an addition of 10,167 units of Open Interest in the September month futures contract (Provisional).
