Nifty halted three day losing streak on Tuesday and finished the session above 17250 mark. Market made positive start, as Minister of State for Finance Pankaj Chaudhary said India's gross domestic product (GDP) is projected to grow at 9.2 per cent to Rs 147.5 lakh crore in 2021-22. Chaudhary said the government has implemented several major reforms in recent years to boost investment and GDP growth. Further, market slipped into red zone, as traders were cautious with Fitch Ratings’ statement that higher fiscal deficits and lack of clarity on consolidation plans in the Budget add risks to its projection of lowering of India's debt-to-gross domestic product (GDP) ratio. Investors are eyeing the RBI MPC meeting which is slated to begin today. Market once again entered into green zone for little time and again lost its gains after private report stated that E-way bill generation for goods transportation under the goods and services tax (GST) system stood at 6.88 crore in January, down 4% from the previous month, reflecting some slack in trade due to the spread of the Omicron variant of Covid. However, in last leg of trade, index erased its losses to end the session in green.
Most of the sectoral indices ended in green except IT, Media and Realty. The top gainers from the F&O segment were Gujarat Narmada Valley, SRF and Bank of Baroda. On the other hand, the top losers were Tata Power, Indiabulls Housing Finance and Metropolis Healthcare. In the index option segment, maximum OI continues to be seen in the 17900 -18200 calls and 16300 -16700 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 3.68% and reached 19.69. The 50 share Nifty up by 53.15 points or 0.31% to settle at 17,266.75.
Nifty February 2022 futures closed at 17256.65 (LTP) on Tuesday, at a discount of 10.10 points over spot closing of 17266.75, while Nifty March 2022 futures ended at 17320.00 (LTP), at a premium of 53.25 points over spot closing. Nifty February futures saw a contraction of 3,930 units, taking the total outstanding open interest (OI) to 1,95,140 units. The near month derivatives contract will expire on February 24, 2022 (Provisional).
From the most active contracts, Tata Steel February 2022 futures traded at a premium of 4.20 points at 1223.70 (LTP) compared with spot closing of 1219.50. The numbers of contracts traded were 41,660 (Provisional).
Reliance Industries February 2022 futures traded at a premium of 3.80 points at 2361.30 (LTP) compared with spot closing of 2357.50. The numbers of contracts traded were 32,536 (Provisional).
Infosys February 2022 futures traded at a discount of 4.35 points at 1704.25 (LTP) compared with spot closing of 1708.60. The numbers of contracts traded were 28,900 (Provisional).
SBIN February 2022 futures traded at a premium of 1.65 points at 532.05 (LTP) compared with spot closing of 530.40. The numbers of contracts traded were 27,875 (Provisional).
Tata Power February 2022 futures traded at a discount of 0.60 points at 232.70 (LTP) compared with spot closing of 233.30. The numbers of contracts traded were 20,648 (Provisional).
Among, Nifty calls, 17300 SP from the February month expiry was the most active call with an addition of 1,535 units open interests. Among Nifty puts, 17200 SP from the February month expiry was the most active put with an addition of 2,202 units open interests. The maximum OI outstanding for Calls was at 18000 SP (51,928 units) and that for Puts was at 16500 SP (75,116 units). The respective Support and Resistance levels of Nifty are: Resistance 17,367.58 -- Pivot Point 17,205.62 -- Support -- 17,104.78.
The Nifty Put Call Ratio (PCR) finally stood at (1.34) for February month contract. The top five scrips with highest PCR on Bank of Baroda (1.05), Escorts (0.98), Vedanta (0.93), Indigo (0.91) and Adani Enterprises (0.79).
Among most active underlying, Tata Power witnessed an addition of 3,700 units of Open Interest in the February month futures contract, Tata Motors witnessed an addition of 847 units of Open Interest in the February month futures contract, SBIN witnessed an addition of 233 units of Open Interest in the February month futures contract, Tata Steel witnessed an addition of 2,540 units of Open Interest in the February month futures contract and Reliance Industries witnessed a contraction of 74 units of Open Interest in the February month futures contract (provisional).
