Nifty extended its upward rally for third day. Market made positive start, as the commerce ministry said the manufacturing sector attracted foreign direct investments worth $21.34 billion in 2021-22, an increase of 76 per cent year-on-year. Further, index extended its gains, as traders took support with RBI data showing that Bank credit rose by 12.89 per cent to Rs 122.81 lakh crore and deposits by 8.35 per cent to Rs 168.09 lakh crore in the fortnight ended July 15, 2022. Market continued its firm trade after private report stated that India received the highest aid for trade in 2020 at $2.7 billion from developed countries even as the receipts declined during the pandemic year compared to $3.9 billion received in 2019. The World Trade Organisation-led aid for trade flows is particularly meant for the least developed economies. It consists of official development support to build supply-side capacity and trade-related infrastructure to enable such countries to participate in international trade. In last leg of trade, market touched its intraday high point, as Union Minister for Agriculture and Farmers Welfare, Narendra Singh Tomar has said that the emphasis is being given on increasing farmers income under the leadership of Prime Minister Narendra Modi. Finally, Nifty closed the day’s trade above 17150 mark.
Most the sectoral indices ended in green except PSU Bank. The top gainers from the F&O segment were SBILIFE, Tata Steel and Dr. Lal Pathlabs. On the other hand, the top losers were M&MFIN, INTELLECT and Shriram Transport Finance Company. In the index option segment, maximum OI continues to be seen in the 17900 -18200 calls and 15450 -16600 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 2.71% and reached 16.55. The 50 share Nifty up by 228.65 points or 1.35% to settle at 17,158.25.
Nifty August 2022 futures closed at 17207.45 (LTP) on Friday, at a premium of 49.20 points over spot closing of 17158.25, while Nifty September 2022 futures ended at 17267.00 (LTP), at a premium of 108.75 points over spot closing. Nifty August futures saw an addition of 22,580 units, taking the total open interest (contracts) to 2,01,353 units. The near month derivatives contract will expire on August 25, 2022 (Provisional).
From the most active contracts, Reliance Industries August 2022 futures traded at a premium of 10.65 points at 2517.85 (LTP) compared with spot closing of 2507.20. The numbers of contracts traded were 46,386 (Provisional).
Tata Steel August 2022 futures traded at a discount of 0.55 points at 107.25 (LTP) compared with spot closing of 107.80. The numbers of contracts traded were 34,414 (Provisional).
Sun Pharma August 2022 futures traded at a premium of 0.25 points at 943.85 (LTP) compared with spot closing of 943.60. The numbers of contracts traded were 33,369 (Provisional).
HDFC Bank August 2022 futures traded at a premium of 8.60 points at 1445.00 (LTP) compared with spot closing of 1436.40. The numbers of contracts traded were 32,072 (Provisional).
Infosys August 2022 futures traded at a premium of 5.50 points at 1551.50 (LTP) compared with spot closing of 1546.00. The numbers of contracts traded were 30,785 (Provisional).
Among, Nifty calls, 17500 SP from the August month expiry was the most active call with a contraction of 619 units open interests. Among Nifty puts, 17000 SP from the August month expiry was the most active put with an addition of 12,105 units open interests. The maximum OI outstanding for Calls was at 18000 SP (35,763 units) and that for Puts was at 16500 SP (50,989 units). The respective Support and Resistance levels of Nifty are: Resistance 17,214.65 -- Pivot Point 17,116.40 -- Support -- 17,060.00.
The Nifty Put Call Ratio (PCR) finally stood at (1.50) for August month contract. The top five scrips with highest PCR on Asian Paints (1.23), Mahanagar Gas (1.14), Apollo Tyres (1.04), Bajaj Finance (0.97) and Glenmark Pharmaceuticals (0.89).
Among most active underlying, Reliance Industries witnessed a contraction of 1,310 units of Open Interest in the August month futures, HDFC Bank witnessed an addition of 1,768 units of Open Interest in the August month futures, Sun Pharma witnessed an addition of 5,467 units of Open Interest in the August month futures, Bajaj Finance witnessed an addition of 433 units of Open Interest in the August month futures and HDFC witnessed an addition of 3,769 units of Open Interest in the August month futures (Provisional).
