Nifty extended its southbound journey for third straight session and ended the day’s trade with cut of over one and half a percent. India VIX was up by 7.77%. Market started day on negative note, as India Ratings cut the forecast to 6.9 per cent from 7 per cent, joining other institutions who have cut their projections to below 7 per cent since the release of the April-June quarter GDP data. Further, index continued its weak trade, as International Monetary Fund (IMF) stated that the global economic outlook remains downbeat and some countries are expected to slip into recession in 2023, but it is too early to say if there will be a widespread global recession. The IMF in July revised down global growth to 3.2% in 2022 and 2.9% in 2023. It will release a new outlook next month. In late afternoon trade, index added more losses to touch intraday low point, as India Ratings (Ind-Ra) said that the current account deficit (CAD) may have reached a nine-year or 36-quarter high of 3.4 per cent of the gross domestic product (GDP) in the first quarter of this financial year against a surplus of 0.9 per cent a year ago. Finally, Nifty closed the Friday’s trade below 17550 mark.
All the sectoral indices ended in red. The top gainers from the F&O segment were Indusind Bank, Max Financial Services and Cipla. On the other hand, the top losers were Indiabulls Housing Finance, MRF and Vedanta. In the index option segment, maximum OI continues to be seen in the 17950 -18100 calls and 16400 -16700 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 7.77% and reached 19.82. The 50 share Nifty down by 346.55 points or 1.94% to settle at 17,530.85.
Nifty September 2022 futures closed at 17570.00 (LTP) on Friday, at a premium of 39.15 points over spot closing of 17530.85, while Nifty October 2022 futures ended at 17630.60 (LTP), at a premium of 99.75 points over spot closing. Nifty September futures saw an addition of 11,448 units, taking the total open interest (contracts) to 2,59,345 units. The near month derivatives contract will expire on September 29, 2022 (Provisional).
From the most active contracts, Infosys September 2022 futures traded at a premium of 4.80 points at 1381.80 (LTP) compared with spot closing of 1377.00. The numbers of contracts traded were 51,174 (Provisional).
Reliance Industries September 2022 futures traded at a premium of 10.50 points at 2508.50 (LTP) compared with spot closing of 2498.00. The numbers of contracts traded were 40,757 (Provisional).
Ambuja Cements September 2022 futures traded at a discount of 0.05 points at 518.10 (LTP) compared with spot closing of 518.15. The numbers of contracts traded were 29,268 (Provisional).
TCS September 2022 futures traded at a discount of 0.45 points at 3015.35 (LTP) compared with spot closing of 3015.80. The numbers of contracts traded were 27,967 (Provisional).
HDFC Bank September 2022 futures traded at a premium of 2.30 points at 1499.80 (LTP) compared with spot closing of 1497.50. The numbers of contracts traded were 26,407 (Provisional).
Among, Nifty calls, 18000 SP from the September month expiry was the most active call with an addition of 559 units open interests. Among Nifty puts, 17500 SP from the September month expiry was the most active put with an addition of 11,761 units open interests. The maximum OI outstanding for Calls was at 18000 SP (62,110 units) and that for Puts was at 16500 SP (71,420 units). The respective Support and Resistance levels of Nifty are: Resistance 17,734.85 -- Pivot Point 17,616.05 -- Support -- 17,412.05.
The Nifty Put Call Ratio (PCR) finally stood at (1.19) for September month contract. The top five scrips with highest PCR on RBL Bank (1.03), Adani Enterprises (0.97), Bank of Baroda (0.92), Indusind Bank (0.86) and Mahindra & Mahindra Fin. Services (0.82).
Among most active underlying, Adani Enterprises witnessed an addition of 1,400 units of Open Interest in the September month futures, Ambuja Cements witnessed an addition of 1,014 units of Open Interest in the September month futures, Indusind Bank witnessed an addition of 2,019 units of Open Interest in the September month futures, Reliance Industries witnessed an addition of 5,838 units of Open Interest in the September month futures and HDFC Bank witnessed an addition of 1,146 units of Open Interest in the September month futures (Provisional).
