Nifty ends lower for fourth consecutive day

Nifty ended lower for fourth consecutive day and closed the day’s trade below 15950 mark. Market made positive start after private report stated that Indian economy is projected to grow 7.1-7.6 per cent in the current financial year despite shifting geopolitical realities across the world. Market continued its green trade, as private report stating that private equity investments in proptech firms rose 35 per cent to USD 741 million last year as investors sought to tap huge opportunities amid rising use of technology in the realty sector. However, in afternoon trade, index trimmed its gains and slipped into red zone even after India’s inflation based on wholesale price index (WPI) eased to 15.18% in the month of June 2022 as against 15.88% in May. Month-over-Month decrease witnessed in WPI for manufactured products but primary articles and Fuel & Power saw a marginal rise. In late afternoon session, market added more losses as traders were cautious after a report that India's trade with Sri Lanka has nearly stopped following the unrest in the island nation, leaving exporters worried about their payments. Finally, Nifty finished the session in red.

Most of the sectoral indices ended in red except Auto, Pharma and Oil& Gas. The top gainers from the F&O segment were Petronet LNG, Hindustan Petroleum Corporation and Sun Pharmaceutical Industries. On the other hand, the top losers were Mindtree, Canara Bank and Birlasoft. In the index option segment, maximum OI continues to be seen in the 16950 -17200 calls and 14950 -15200 puts indicating this is the trading range expectation.

India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 0.97% and reached 18.34. The 50 share Nifty down by 28.00 points or 0.18% to settle at 15,938.65.

Nifty July 2022 futures closed at 15941.00 (LTP) on Thursday, at a premium of 2.35 points over spot closing of 15938.65, while Nifty August 2022 futures ended at 15955.00 (LTP), at a premium of 16.35 points over spot closing. Nifty July futures saw an addition of 20,968 units, taking the total open interest (Contracts) to 2,57,117 units. The near month derivatives contract will expire on July 28, 2022 (Provisional).

From the most active contracts, Reliance Industries July 2022 futures traded at a premium of 1.70 points at 2400.70 (LTP) compared with spot closing of 2399.00. The numbers of contracts traded were 53,287 (Provisional).

TCS July 2022 futures traded at a premium of 7.55 points at 3010.55 (LTP) compared with spot closing of 3003.00. The numbers of contracts traded were 26,682 (Provisional).

Infosys July 2022 futures traded at a premium of 3.40 points at 1436.40 (LTP) compared with spot closing of 1433.00. The numbers of contracts traded were 24,033 (Provisional).

Mindtree July 2022 futures traded at a premium of 11.00 points at 2799.00 (LTP) compared with spot closing of 2788.00. The numbers of contracts traded were 21,864 (Provisional).

Tata Steel July 2022 futures traded at a premium of 3.15 points at 911.15 (LTP) compared with spot closing of 908.00. The numbers of contracts traded were 21,353 (Provisional).

Among, Nifty calls, 16000 SP from the June month expiry was the most active call with an addition of 4,121 units open interests. Among Nifty puts, 15900 SP from the June month expiry was the most active put with an addition of 3,936 units open interests. The maximum OI outstanding for Calls was at 17000 SP (49,600 units) and that for Puts was at 15000 SP (65,400 units). The respective Support and Resistance levels of Nifty are: Resistance 16,053.60 -- Pivot Point 15,955.90 -- Support -- 15,840.95.

The Nifty Put Call Ratio (PCR) finally stood at (1.21) for June month contract. The top five scrips with highest PCR on ACC (1.53), Kotak Mahindra Bank (1.13), MRF (1.07), RBL Bank (1.02) and Canara Bank (1.00).

Among most active underlying, Reliance Industries witnessed an addition of 2,639 units of Open Interest in the June month futures, HDFC Bank witnessed an addition of 2,296 units of Open Interest in the June month futures, Kotak Mahindra Bank witnessed an addition of 2,704 units of Open Interest in the June month futures, ICICI Bank witnessed an addition of 497 units of Open Interest in the June month futures and Mindtree witnessed an addition of 1,861 units of Open Interest in the June month futures contract (Provisional).