Nifty ended higher for the second consecutive session on Monday. India VIX was up by 19.30%. After making cautious start, market added points to trade above neutral line, as Reserve Bank Governor Shaktikanta Das said that India is unlikely to be impacted by any adverse developments in Taiwan. The Governor said Taiwan accounts for only 0.7 per cent of India's overall trade and the capital flows from the island are also not very high. Index maintained its gains, as the Reserve Bank of India (RBI) data showed that India's foreign exchange (forex) reserves rose by $2.315 billion to $573.875 billion for the week ended July 29 on the back of robust capital inflows in the equities markets and strengthening of rupee from the record low. In afternoon trade, index enlarged its gains, as data with depositories showed after turning net buyers last month, foreign investors continued their positive stance on Indian equities and invested over Rs 14,000 crore in the first week of August amid softening of the dollar index. This was way higher than the net investment of nearly Rs 5,000 crore by Foreign Portfolio Investors (FPIs) in entire July. Finally, Nifty closed the day’s trade above 17500 mark.
Most the sectoral indices ended in green except IT and PSU Bank. The top gainers from the F&O segment were Hindustan Aeronautics, Hindustan Copper and Siemens. On the other hand, the top losers were Max Financial Services, Alkem Laboratories and HPCL. 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 increased by 2.04% and reached 19.30. The 50 share Nifty up by 127.60 points or 0.73% to settle at 17,525.10.
Nifty August 2022 futures closed at 17560.00 (LTP) on Monday, at a premium of 34.90 points over spot closing of 17525.10, while Nifty September 2022 futures ended at 17632.35 (LTP), at a premium of 107.25 points over spot closing. Nifty August futures saw an addition of 20,480 units, taking the total open interest (OI) to 2,21,146 units. The near month derivatives contract will expire on August 25, 2022 (Provisional).
From the most active contracts, SBIN August 2022 futures traded at a premium of 2.85 points at 522.95 (LTP) compared with spot closing of 520.10. The numbers of contracts traded were 34,829 (Provisional).
HDFC Bank August 2022 futures traded at a premium of 5.15 points at 1466.50 (LTP) compared with spot closing of 1461.35. The numbers of contracts traded were 34,559 (Provisional).
Reliance Industries August 2022 futures traded at a premium of 5.55 points at 2573.55 (LTP) compared with spot closing of 2568.00. The numbers of contracts traded were 29,496 (Provisional).
Adani Ports August 2022 futures traded at a premium of 2.25 points at 809.25 (LTP) compared with spot closing of 807.00. The numbers of contracts traded were 17,278 (Provisional).
ICICI Bank August 2022 futures traded at a premium of 2.45 points at 839.65 (LTP) compared with spot closing of 837.20. The numbers of contracts traded were 15,224 (Provisional).
Among, Nifty calls, 18000 SP from the August month expiry was the most active call with an addition of 2,987 units open interests. Among Nifty puts, 17500 SP from the August month expiry was the most active put with an addition of 9,539 units open interests. The maximum OI outstanding for Calls was at 18000 SP (47,842 units) and that for Puts was at 16500 SP (46,934 units). The respective Support and Resistance levels of Nifty are: Resistance 17,596.02 -- Pivot Point 17,477.88 -- Support -- 17,406.97.
The Nifty Put Call Ratio (PCR) finally stood at (1.36) for August month contract. The top five scrips with highest PCR on Asian Paints (1.58), Lupin (1.47), JSW Steel (0.99), Indiabulls Housing Finance (0.95) and Adani Enterprises (0.93).
Among most active underlying, HDFC Bank witnessed an addition of 5,302 units of Open Interest in the August month futures, SBIN witnessed an addition of 3,365 units of Open Interest in the August month futures, Reliance Industries witnessed an addition of 809 units of Open Interest in the August month futures, ICICI Bank witnessed an addition of 2,851 units of Open Interest in the August month futures and Adani Ports witnessed an addition of 1,593 units of Open Interest in the August month futures (Provisional).
