Nifty ended highly volatile trading session near neutral line with negative bias. India VIX was down by 1.48%. Market made positive start with Chief Economic Advisor (CEA) V Anantha Nageswaran’s statement that the Indian economy is showing resilience and on the path to recovery. He added that private demand and the services sector are doing better than expected. Further, index turned volatile with Finance minister Nirmala Sitharaman’s statement that ‘some people do also speak that a falling rupee also helps exports. Whether it does or doesn’t, theoretically it may, but in today’s condition, with recession outside and demand not really as adequately as it should be, even a fall in the rupee may or may not help our exports. We are conscious about these basic facts’. In afternoon trade, market managed to trade above water after Organisation for Economic Cooperation and Development (OECD) in its latest Interim Economic Outlook has retained the India’s Gross Domestic Product (GDP) growth projection at 6.9 per cent for the current financial year (FY23) despite the global economy losing momentum in wake of the Russia-Ukraine war. In last leg of trade, market was seesawing between the green and red territory and ended day’s trade marginally lower.
Traders were seen piling positions in FMCG, IT and Media sector while selling was witnessed in Metal, Bank and Auto sector stocks. The top gainers from the F&O segment were Mahanagar Gas, Indraprastha Gas and Muthoot Finance. On the other hand, the top losers were Hero Motocorp, Can Fin Homes and Indiabulls Housing Finance. In the index option segment, maximum OI continues to be seen in the 17900 -18100 calls and 17400 -17600 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility decreased by 1.48% and reached 21.57. The 50 share Nifty down by 8.90 points or 0.05% to settle at 17,007.40.
Nifty September 2022 futures closed at 17055.00 (LTP) on Tuesday, at a premium of 47.60 points over spot closing of 17007.40, while Nifty October 2022 futures ended at 17098.30 (LTP), at a premium of 90.90 points over spot closing. Nifty September futures saw an addition of 670 units, taking the total open interest (Contracts) to 1,94,463 units. The near month derivatives contract will expire on September 29, 2022 (provisional).
From the most active contracts, Reliance Industries September 2022 futures traded at a premium of 4.20 points at 2398.20 (LTP) compared with spot closing of 2394.00. The numbers of contracts traded were 49,011 (provisional).
Infosys September 2022 futures traded at a premium of 1.65 points at 1399.90 (LTP) compared with spot closing of 1398.25. The numbers of contracts traded were 47,648 (provisional).
HDFC Bank September 2022 futures traded at a premium of 2.60 points at 1417.25 (LTP) compared with spot closing of 1414.65. The numbers of contracts traded were 32,358 (provisional).
Ambuja Cements September 2022 futures traded at a premium of 1.30 points at 509.80 (LTP) compared with spot closing of 508.50. The numbers of contracts traded were 27,001 (provisional).
Adani Ports September 2022 futures traded at a premium of 0.50 points at 847.00 (LTP) compared with spot closing of 846.50. The numbers of contracts traded were 25,402 (provisional).
Among, Nifty calls, 17100 SP from the September month expiry was the most active call with an addition of 64,067 units open interests. Among Nifty puts, 17000 SP from the September month expiry was the most active put with a contraction of 5,829 units open interests. The maximum OI outstanding for Calls was at 18000 SP (1,73,261 units) and that for Puts was at 16000 SP (1,24,970 units). The respective Support and Resistance levels of Nifty are: Resistance 17,141.78 -- Pivot Point 17,042.07 -- Support -- 16,907.68.
The Nifty Put Call Ratio (PCR) finally stood at (0.57) for September month contract. The top five scrips with highest PCR on Dr Lal Path Labs (1.03), Adani Enterprises (1.01), Indian Hotel (0.97), HUL (0.94) and RBL Bank (0.94).
Among most active underlying, Adani Enterprises witnessed a contraction of 1,015 units of Open Interest in the September month futures, Reliance Industries witnessed an addition of 4,144 units of Open Interest in the September month futures, ICICI Bank witnessed an addition of 2,558 units of Open Interest in the September month futures, Adani Ports witnessed a contraction of 393 units of Open Interest in the September month futures and HDFC Bank witnessed a contraction of 89 units of Open Interest in the September month futures (Provisional).
