Nifty ends at day’s high point on Monday

S&P CNX Nifty ended first day of trading week on higher note. India VIX was up by 0.87%. After making negative start, soon index entered into positive territory, as traders found support after Finance Minister Nirmala Sitharaman said the Indian economy will stay on course despite global headwinds and is projected to grow at seven per cent in fiscal 2022-23, and attributed this to the conducive domestic policy environment and focus on key structural reforms. She also reiterated that the inflation rate, which is hovering over 7 per cent in India, is at a manageable level compared to where some other countries are at present.

Further in afternoon trade, markets added more points, as India may become the third-biggest economy behind the US and China by FY28, two years earlier than initially expected, overtaking Germany and Japan, according to the International Monetary Fund (IMF) World Economic Outlook database. It also projects India going past the UK this year to become the 5th biggest economy. Market sustained its gains and closed the day’s trade with gains of over half a percent. Sentiments remained upbeat after finance Minister Nirmala Sitharaman has said that the rupee has not weakened but it is the dollar that has strengthened, as she defended the 8 percent slide in the value of Indian currency against the greenback this year. 

Most of the sectoral indices ended in green except Media, Metal and Realty. The top gainers from the F&O segment were City Union Bank, Canara Bank and Bank of Baroda. On the other hand, the top losers were Vedanta, Navin Fluorine International and Oberoi Realty. In the index option segment, maximum OI continues to be seen in the 17900 -18200 calls and 16900 -17150 puts indicating this is the trading range expectation.

India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 0.87% and reached 18.42. The 50 share Nifty up by 126.10 points or 0.73% to settle at 17,311.80.

Nifty October 2022 futures closed at 17305.50 (LTP) on Monday, at a discount of 6.30 points over spot closing of 17311.80, while Nifty November 2022 futures ended at 17348.00 (LTP), at a premium of 36.20 points over spot closing. Nifty October futures saw an addition of 8,195 units, taking the total open interest (Contracts) to 2,56,571 units. The near month derivatives contract will expire on October 27, 2022. (Provisional)

From the most active contracts, HDFC Bank October 2022 futures traded at a premium of 3.05 points at 1448.50 (LTP) compared with spot closing of 1445.45. The numbers of contracts traded were 36,050. (Provisional)

Reliance Industries October 2022 futures traded at a premium of 3.25 points at 2409.85 (LTP) compared with spot closing of 2406.60. The numbers of contracts traded were 33,990. (Provisional)

Infosys October 2022 futures traded at a discount of 12.10 points at 1478.90 (LTP) compared with spot closing of 1491.00. The numbers of contracts traded were 26,284. (Provisional)

HDFC October 2022 futures traded at a discount of 2.40 points at 2350.10 (LTP) compared with spot closing of 2352.50. The numbers of contracts traded were 19,796. (Provisional)

SBIN October 2022 futures traded at a premium of 1.90 points at 545.10 (LTP) compared with spot closing of 543.20. The numbers of contracts traded were 19,767. (Provisional)

Among, Nifty calls, 17500 SP from the October month expiry was the most active call with an addition of 4,440 units open interests. Among Nifty puts, 17000 SP from the October month expiry was the most active put with a contraction of 8,879 units open interests. The maximum OI outstanding for Calls was at 18000 SP (89,601 units) and that for Puts was at 17000 SP (80,019 units). The respective Support and Resistance levels of Nifty are: Resistance 17,394.05 -- Pivot Point 17,246.30 -- Support -- 17,164.05.

The Nifty Put Call Ratio (PCR) finally stood at (1.10) for October month contract. The top five scrips with highest PCR on RBL Bank (1.03), Canara Bank (0.91), Max Financial Services (0.87), IDFC (0.87) and Axis Bank (0.86).

Among most active underlying, HDFC Bank witnessed an addition of 1,799 units of Open Interest in the October month futures, Reliance Industries witnessed an addition of 2,499 units of Open Interest in the October month futures, SBIN witnessed an addition of 848 units of Open Interest in the October month futures, ICICI Bank witnessed an addition of 1,272 units of Open Interest in the October month futures and Adani Enterprises witnessed a contraction of 89 units of Open Interest in the October month futures. (Provisional)