Nifty snapped winning streak on Wednesday and ended the session below 17100 mark. Market made positive start and maintained its gains, as India's economy grew by 20.1 per cent in the first quarter of 2021-22, helped by a low base of the year-ago period. According to data released by the National Statistical Office (NSO), the gross domestic product (GDP) had contracted by 24.4 per cent in the corresponding April-June quarter of 2020-21. However, in late morning trade, market failed to hold gains and entered into red zone, as India’s manufacturing sector activities moderated in August, as business orders and production rose at softer rates due to the pandemic and rising input costs. The seasonally adjusted IHS Markit India Manufacturing Purchasing Managers’ Index (PMI) stood at 52.3 in August, down from 55.3 in July, indicating a softer rate of growth that was subdued and below its long-run average. Further, in last leg of trade, market extended its losses to touch intraday low point even after Moody's Investors Service said the economic activity in India is picking up with the gradual easing of COVID restrictions and there could be further upside to growth as economies around the world gradually reopen.
Most of the sectoral indices ended in green except IT, Metal and Pharma. The top gainers from the F&O segment were IEX, Havells and Exide Industries. On the other hand, the top losers were Cipla, M&M and Nippon Life India Asset Management. In the index option segment, maximum OI continues to be seen in the 17300 -17600 calls and 16300 -16650 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 2.30% and reached 14.19. The 50 share Nifty down by 55.95 points or 0.33% to settle at 17,076.25.
Nifty September 2021 futures closed at 17086.25 (LTP) on Wednesday, at a premium of 10.00 points over spot closing of 17076.25, while Nifty October 2021 futures ended at 17115.00 (LTP), at a premium of 38.75 points over spot closing. Nifty September futures saw an addition of 162 units, taking the total open interest (OI) to 2,87,389 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 4.65 points at 2270.65 (LTP) compared with spot closing of 2266.00. The numbers of contracts traded were 26,397 (Provisional).
SBIN September 2021 futures traded at a premium of 1.20 points at 429.85 (LTP) compared with spot closing of 428.65. The numbers of contracts traded were 23,338 (Provisional).
ICICI Bank September 2021 futures traded at a premium of 1.70 points at 720.00 (LTP) compared with spot closing of 718.30. The numbers of contracts traded were 21,735 (Provisional).
Axis Bank September 2021 futures traded at a premium of 3.50 points at 801.90 (LTP) compared with spot closing of 798.40. The numbers of contracts traded were 20,511 (Provisional).
AU Small Finance Bank September 2021 futures traded at a premium of 3.55 points at 1156.10 (LTP) compared with spot closing of 1152.55. The numbers of contracts traded were 20,438 (Provisional).
Among, Nifty calls, 17200 SP from the September month expiry was the most active call with an addition of 3,339 units open interests. Among Nifty puts, 17000 SP from the September month expiry was the most active put with an addition of 6,933 units open interests. The maximum OI outstanding for Calls was at 17500 SP (32,621 units) and that for Puts was at 16500 SP (55,772 units). The respective Support and Resistance levels of Nifty are: Resistance 17,182.98 -- Pivot Point 17,119.02 -- Support -- 17,012.28.
The Nifty Put Call Ratio (PCR) finally stood at (1.49) for September month contract. The top five scrips with highest PCR on Hero Motocorp (0.87), TCS (0.87), Bajaj Finance (0.84), Kotak Mahindra Bank (0.80) and PFC (0.80).
Among most active underlying, Bharti Airtel witnessed an addition of 796 units of Open Interest in the September month futures contract, ICICI Bank witnessed an addition of 1,234 units of Open Interest in the September month futures contract, Tata Steel witnessed an addition of 2,821 units of Open Interest in the September month futures contract, Axis Bank witnessed an addition of 1,407 units of Open Interest in the September month futures contract and Bajaj Finance witnessed an addition of 173 units of Open Interest in the September month futures contract (Provisional).
