Selling pressure in last leg of trade forced CNX Nifty to end Thursday’s session near day’s low point. Even after witnessing sharp sell -off near end of the session, index able to conclude session in green. Tracing bullish momentum in the Asian markets as well as the rally in Wall Street, a day earlier, market made optimistic start after stronger-than-expected retail sales data offered evidence of resilience in the U.S. economy. The Commerce Department released a report showing a substantial increase in U.S. retail sales in the month of January. The report said retail sales spiked by 3.0 percent in January after tumbling by 1.1 percent in December. Further, market held firm trade in first half of the session, as reversal in the foreign institutional investor (FII) pattern to net buying has helped maintain optimism in the markets. However, in second half of the session, market cut most of its gain, as domestic traders remained concern over the outlook for interest rates following the release of Consumer Price Index (CPI) data. This data will force Reserve Bank of India (RBI) to raise interest rates in an effort to combat inflation.
Traders were seen piling positions in IT, Media and Metal sector while selling was witnessed in Bank, Auto and FMCG sector stocks. The top gainers from the F&O segment were P I Industries, Hindustan Aeronautics and ONGC. On the other hand, the top losers were Indigo, ICICI Prudential Life Insurance and Vodafone Idea. In the index option segment, maximum OI continues to be seen in the 18200 -18400 calls and 17950 -18050 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 0.23% and reached 12.89. The 50 share Nifty up by 20.00 points or 0.11% to settle at 18,035.85.
Nifty February 2023 futures closed at 18057.35 (LTP) on Thursday, at a premium of 21.50 points over spot closing of 18035.85, while Nifty March 2023 futures ended at 18161.65 (LTP), at a premium of 125.80 points over spot closing. Nifty February futures saw a contraction of 1,335 units, taking the total open interest (contracts) to 1,89,113 units. The near month derivatives contract will expire on February 23, 2023. (Provisional)
From the most active contracts, Reliance Industries February 2023 futures traded at a premium of 1.50 points at 2429.00 (LTP) compared with spot closing of 2427.50. The numbers of contracts traded were 42,128. (Provisional)
Kotak Mahindra Bank February 2023 futures traded at a premium of 4.25 points at 1795.20 (LTP) compared with spot closing of 1790.95. The numbers of contracts traded were 31,305. (Provisional)
Tech Mahindra February 2023 futures traded at a premium of 2.80 points at 1130.35 (LTP) compared with spot closing of 1127.55. The numbers of contracts traded were 28,961. (Provisional)
Adani Enterprises February 2023 futures traded at a premium of 1.60 points at 1798.45 (LTP) compared with spot closing of 1796.85. The numbers of contracts traded were 28,138. (Provisional)
ICICI Bank February 2023 futures traded at a premium of 0.95 points at 867.80 (LTP) compared with spot closing of 866.85. The numbers of contracts traded were 27,701. (Provisional)
Among, Nifty calls, 18100 SP from the February month expiry was the most active call with an addition of 8,100 units open interests. Among Nifty puts, 18000 SP from the February month expiry was the most active put with an addition of 32,643 units open interests. The maximum OI outstanding for Calls was at 18300 SP (57,346 units) and that for Puts was at 18000 SP (1,01,085 units). The respective Support and Resistance levels of Nifty are: Resistance 18,113.52 -- Pivot Point 18,057.08 -- Support -- 17,979.42.
The Nifty Put Call Ratio (PCR) finally stood at (0.94) for February month contract. The top five scrips with highest PCR on Shree Cement (1.54), P I Industries (1.48), Apollo Hospitals (1.39), LTIMindtree (1.25) and Tech Mahindra (1.21).
Among most active underlying, Reliance Industries witnessed an addition of 920 units of Open Interest in the February month futures, Kotak Mahindra Bank witnessed an addition of 141 units of Open Interest in the February month futures, Tech Mahindra witnessed an addition of 1,777 units of Open Interest in the February month futures, ICICI Bank witnessed an addition of 1,143 units of Open Interest in the February month futures and HDFC Bank witnessed an addition of 924 units of Open Interest in the February month futures. (Provisional)
