The local benchmark -- Nifty -- ended the session below its crucial 18000 mark on Tuesday. Market made negative start, as Finance Secretary T V Somanathan said that the entire revenue loss on account of reduction in excise duty on petrol and diesel by Rs 10 and Rs 5 a litre respectively will be borne by the Centre. Besides, industry body AIFI said that with the ripple down effect of declining automobile sales, the forging industry is facing the heat with a sharp decline in demand which has resulted in substantial production cuts. Market remained in red even after merchandise exports grew for the eleventh consecutive month to $35.65 billion, up 43 per cent on-year in October, as external demand continued to remain robust. The preliminary data released by the commerce and industry ministry showed growth being driven by higher demand for items, primarily engineering goods, petroleum products, gems and jewellery, as well as organic and inorganic chemicals, among other items. But, in the last hours of the trade, key indices witnessed a sharp fall to end lower.
In late afternoon session, market extended its losses to touch intraday low point. Traders failed to get any sense of relief after Commerce and Industry Minister Piyush Goyal said India attracted ‘record’ foreign direct investments in the last seven years and the trend is expected to continue in the coming years as well on account of major structural reforms being undertaken by the government.
Most of the sectoral indices ended in red except Auto and IT. The top gainers from the F&O segment were Maruti Suzuki, Motherson Sumi Systems and Chambal Fertilizers & Chemicals. On the other hand, the top losers were Hindustan Petroleum Corporation, Manappuram Finance and Metropolis Lab. In the index option segment, maximum OI continues to be seen in the 17900 -18200 calls and 17200 -17700 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 1.74% and reached 15.20. The 50 share Nifty down by 110.25 points or 0.61% to settle at 17,999.20.
Nifty November 2021 futures closed at 17987.00 (LTP) on Tuesday, at a discount of 12.20 points over spot closing of 17999.20, while Nifty December 2021 futures ended at 18046.00 (LTP), at a premium of 46.80 points over spot closing. Nifty November futures saw an addition of 6,679 units, taking the total open interest (OI) to 2,09,863 units. The near month derivatives contract will expire on November 25, 2021 (Provisional).
From the most active contracts, Maruti Suzuki November 2021 futures traded at a premium of 18.45 points at 8068.00 (LTP) compared with spot closing of 8049.55. The numbers of contracts traded were 36,310 (Provisional).
Reliance Industries November 2021 futures traded at a premium of 0.70 points at 2497.95 (LTP) compared with spot closing of 2497.25. The numbers of contracts traded were 35,599 (Provisional).
Tata Steel November 2021 futures traded at a premium of 4.50 points at 1230.00 (LTP) compared with spot closing of 1225.50. The numbers of contracts traded were 30,369 (Provisional).
Tata Motors November 2021 futures traded at a premium of 1.45 points at 519.40 (LTP) compared with spot closing of 517.95. The numbers of contracts traded were 27,806 (Provisional).
Infosys November 2021 futures traded at a premium of 0.10 points at 1791.50 (LTP) compared with spot closing of 1791.40. The numbers of contracts traded were 23,702 (Provisional).
Among, Nifty calls, 18100 SP from the October month expiry was the most active call with an addition of 7,069 units open interests. Among Nifty puts, 18000 SP from the October month expiry was the most active put with an addition of 959 units open interests. The maximum OI outstanding for Calls was at 18500 SP (48,886 units) and that for Puts was at 17500 SP (52,442 units). The respective Support and Resistance levels of Nifty are: Resistance 18,101.63 -- Pivot Point 18,030.22 -- Support -- 17,927.78.
The Nifty Put Call Ratio (PCR) finally stood at (0.97) for October month contract. The top five scrips with highest PCR on Dalmia Bharat (1.19), ACC (1.12), Indigo (0.86), Apollo Hospital (0.82) and Motherson Sumi Systems (0.77).
Among most active underlying, Tata Motors witnessed an addition of 2,078 units of Open Interest in the October month futures contract, Maruti Suzuki witnessed an addition of 3,875 units of Open Interest in the October month futures contract, Reliance Industries witnessed an addition of 3,143 units of Open Interest in the October month futures contract, Vedanta witnessed a contraction of 112 units of Open Interest in the October month futures contract and Tata Steel witnessed an addition of 94 units of Open Interest in the October month futures contract (Provisional).
