Extending its wining for fourth straight day, Indian equity benchmark -- Nifty -- ended the Thursday trade with a gain of around three fourth of a percent with Nifty settling above its crucial 17,650 mark as sentiments remained upbeat as softer than expected US inflation data eased worries over aggressive interest rate hike by the Federal Reserve. Market made an very optimistic start and maintained that gain by trading in a very tight-band throughout the session as traders took encouragement with a private report that India is likely to be the fastest-growing Asian economy in 2022-23. The report expects India’s gross domestic product growth to average 7 per cent during this period - the strongest among the largest economies - and contributing 28 per cent and 22 per cent to Asian and global growth, respectively. Foreign fund inflows also aided the domestic sentiments. Sentiments also remained higher as Reserve Bank of India (RBI) in its latest data has showing that bank credit rose 14.52 per cent to Rs 123.69 lakh crore and deposits increased 9.14 per cent to Rs 169.72 lakh crore in the fortnight ended July 29.
Traders were seen piling up positions in PSU Bank, Bank and IT stocks, while selling was witnessed in Media, FMCG and Auto. The top gainers from the F&O segment were Mahanagar Gas, Indraprastha Gas and Cummins India. On the other hand, the top losers were Abbott India, PVR and Gujarat Narmada Valley Fertilizers and Chemicals. In the index option segment, maximum OI continues to be seen in the 17900 -18200 calls and 16400 -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 6.29% and reached 18.35. The 50 share Nifty up by 124.25 points or 0.71% to settle at 17,659.00.
Nifty August 2022 futures closed at 17676.00 (LTP) on Thursday, at a premium of 17 points over spot closing of 17659.00, while Nifty September 2022 futures ended at 17746.00 (LTP), at a premium of 87.00 points over spot closing. Nifty May futures saw an addition of 3,729 units, taking the total open interest (OI) to 2,17,124 units. The near month derivatives contract will expire on August 25, 2022 (Provisional).
From the most active contracts, HDFC Bank August 2022 futures traded at a premium of 6.50 points at 1486.50 (LTP) compared with spot closing of 1480.00. The numbers of contracts traded were 25,936 (Provisional).
ICICI Bank August 2022 futures traded at a premium of 2.60 points at 862.40 (LTP) compared with spot closing of 859.80. The numbers of contracts traded were 17,886 (Provisional).
Reliance Industries August 2022 futures traded at a premium of 3.00 points at 2589.70 (LTP) compared with spot closing of 2586.70. The numbers of contracts traded were 17,354 (Provisional).
SBIN August 2022 futures traded at a premium of 2.35 points at 526.85 (LTP) compared with spot closing of 524.50. The numbers of contracts traded were 16,642 (Provisional).
HDFC August 2022 futures traded at a premium of 3.90 points at 2455.40 (LTP) compared with spot closing of 2451.50. The numbers of contracts traded were 16,053 (Provisional).
Among, Nifty calls, 17700 SP from the August month expiry was the most active call with an addition of 12,484 units open interests. Among Nifty puts, 17600 SP from the August month expiry was the most active put with an addition of 18,448 units open interests. The maximum OI outstanding for Calls was at 18000 SP (46,701 units) and that for Puts was at 16500 SP (48,415 units). The respective Support and Resistance levels of Nifty are: Resistance 17,708.22 -- Pivot Point 17,670.08 -- Support -- 17,620.87.
The Nifty Put Call Ratio (PCR) finally stood at (1.38) for August month contract. The top five scrips with highest PCR on Lupin (1.62), Asian Paints (1.30), ICICI Bank (1.26), Mindtree (1.01) and Adani Enterprises (0.99).
Among most active underlying, ICICI Bank witnessed an addition of 4,000 units of Open Interest in the August month futures, HDFC Bank witnessed an addition of 5,566 units of Open Interest in the August month futures, Eicher Motors witnessed an addition of 178 units of Open Interest in the August month futures, SBIN witnessed an addition of 705 units of Open Interest in the August month futures and Axis Bank witnessed an addition of 2,042 units of Open Interest in the August month futures (Provisional).
