Nifty extended its fall on last trading day of week dragged by weakness in information technology, pharma and consumer durable shares. Besides, Petrol and diesel prices were hiked yet again by 80 paise a litre. This is the third time in the week that petrol and diesel prices went up -- witnessing an overall increase of Rs 2.4 per litre, after a four-month hiatus. Market made slightly positive and soon slipped into red zone, as UN Conference on Trade and Development (UNCTAD) in its latest report has downgraded India’s economic growth by over 2 per cent to 4.6 percent for 2022 from earlier forecast of 6.7 percent. A decrease has been attributed to the ongoing war in Ukraine, with New Delhi expected to face restraints on energy access and prices, reflexes from trade sanctions, food inflation, tightening policies and financial instability. Further, index continued its weak trade, as foreign institutional investors (FIIs) remained net sellers in the capital market as they sold shares worth Rs 1,740.71 crore on Thursday, exchange data showed.
In late afternoon session, market added more loses with S&P Global Ratings in its report said rising commodity prices, further triggered by the Russia-Ukraine war, could moderate healthy recovery of the country’s economy, and put pressure on the Reserve Bank of India (RBI) to normalise its monetary policy faster than anticipated. Finally, Nifty finished lackluster day of trade below its 17200 mark.
Most of the sectoral indices ended in red except PSU Bank, Media and Metal. The top gainers from the F&O segment were Concor, Indigo and Atul. On the other hand, the top losers were Astral, Gujarat Narmada Valley Fertlzrs&Chms and Indus Towers. In the index option segment, maximum OI continues to be seen in the 17900 -18150 calls and 15900 -16150 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 2.08% and reached 23.43. The 50 share Nifty down by 69.75 points or 0.40% to settle at 17,153.00.
Nifty March 2022 futures closed at 17216.55 (LTP) on Friday, at a premium of 63.55 points over spot closing of 17153.00, while Nifty April 2022 futures ended at 17260.95 (LTP), at a premium of 107.95 points over spot closing. Nifty March futures saw an additional of 900 units, taking the total outstanding open interest (OI) to 2,05,981 units. The near month derivatives contract will expire on March 31, 2022 (Provisional).
From the most active contracts, Reliance Industries March 2022 futures traded at a premium of 2.20 points at 2603.10 (LTP) compared with spot closing of 2600.90. The numbers of contracts traded were 31,991 (Provisional).
Tata Steel March 2022 futures traded at a premium of 1.15 points at 1337.15 (LTP) compared with spot closing of 1336.00. The numbers of contracts traded were 29,808 (Provisional).
HDFC Bank March 2022 futures traded at a premium of 0.75 points at 1437.55 (LTP) compared with spot closing of 1436.80. The numbers of contracts traded were 23,124 (Provisional).
ICICI Bank March 2022 futures traded at a premium of 2.05 points at 703.60 (LTP) compared with spot closing of 701.55. The numbers of contracts traded were 20,800 (Provisional).
TCS March 2022 futures traded at a discount of 1.35 points at 3708.65 (LTP) compared with spot closing of 3710.00. The numbers of contracts traded were 19,463 (Provisional).
Among, Nifty calls, 17200 SP from the March month expiry was the most active call with an addition of 24,735 units open interests. Among Nifty puts, 17000 SP from the March month expiry was the most active put with an addition of 18,668 units open interests. The maximum OI outstanding for Calls was at 18000 SP (1,55,320 units) and that for Puts was at 16000 SP (1,48,950 units). The respective Support and Resistance levels of Nifty are: Resistance 17,273.08 -- Pivot Point 17,174.82 -- Support -- 17,054.73.
The Nifty Put Call Ratio (PCR) finally stood at (0.82) for March month contract. The top five scrips with highest PCR on Jindal Steel & Power (1.28), Aurobindo Pharma (1.05), Adani Enterprises (1.03), JSW Steel (0.99) and Reliance Industries (0.95).
Among most active underlying, Reliance Industries witnessed an addition of 2,736 units of Open Interest in the March month futures contract, ICICI Bank witnessed an addition of 3,584 units of Open Interest in the March month futures contract, HDFC Bank witnessed an addition of 3,547 units of Open Interest in the March month futures contract, Tata Steel witnessed an addition of 747 units of Open Interest in the March month futures contract and Adani Ports witnessed an addition of 6,375 units of Open Interest in the March month futures contract (Provisional).
