Indian benchmark -- Nifty -- finished the session with gain of above half a percent, as traders opted for value buying in second half of the session. India VIX was up by 0.32%. Index made positive start, as traders took support from report that India’s forex reserves rose by $1.657 billion to $586.412 billion as of April 14, marking their second consecutive week of increase. Besides, Foreign portfolio investors (FPIs) have infused Rs 8,643 crore in the Indian equity markets so far in April on the reasonable valuation of stocks. FPIs infused a net sum of Rs 7,936 crore in equities in March mainly driven by bulk investment in the Adani Group companies by the US-based GQG Partners.
Market turned volatile in late morning session, as traders were cautious with the Union finance minister Nirmala Sitharaman’s statement that certain methods used by Western economies during the Covid-19 pandemic caused global economic stress as an after-effect. She said many of the Western developed economies adopted that method -- like printing more currency and distributing it among people -- in dealing with the stress in their economies. However, rally in second half of the trade helped nifty to end near intra day high as traders turned optimistic with encouraging earnings results from heavyweights.
Most of the sectorial indices ended in green except Auto, Media and Pharma. The top gainers from the F&O segment were HDFC Life Insurance Company, Tata Consumer Products and Persistent Systems. On the other hand, the top losers were Laurus Labs, IPCA Laboratories and PI Industries. In the index option segment, maximum OI continues to be seen in the 17900 -18100 calls and 17600 -17750 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short-term expectation of volatility increased by 0.32% and reached 11.67. The 50 share Nifty up by 119.35 points or 0.68% to settle at 17,743.40.
Nifty April 2023 futures closed at 17767.55 (LTP) on Monday, at a premium of 24.15 points over spot closing of 17743.40, while Nifty May 2023 futures ended at 17830.00 (LTP), at a premium of 86.60 points over spot closing. Nifty April futures saw an addition of 15,273 units, taking the total open interest (Contracts) to 1,97,393 units. The near month derivatives contract will expire on April 27, 2023. (Provisional)
From the most active contracts, ICICI Bank April 2023 futures traded at a premium of 0.55 points at 905.85 (LTP) compared with spot closing of 905.30. The numbers of contracts traded were 54,244. (Provisional)
Reliance Industries April 2023 futures traded at a premium of 0.50 points at 2361.00 (LTP) compared with spot closing of 2360.50. The numbers of contracts traded were 52,219. (Provisional)
HDFC Bank April 2023 futures traded at a premium of 2.35 points at 1691.85 (LTP) compared with spot closing of 1689.50. The numbers of contracts traded were 47,154. (Provisional)
Indusind Bank April 2023 futures traded at a premium of 3.35 points at 1104.70 (LTP) compared with spot closing of 1101.35. The numbers of contracts traded were 37,084. (Provisional)
Infosys April 2023 futures traded at a premium of 1.35 points at 1230.20 (LTP) compared with spot closing of 1228.85. The numbers of contracts traded were 31,070. (Provisional)
Among, Nifty calls, 17800 SP from the April month expiry was the most active call with an addition of 39,522 units open interests. Among Nifty puts, 17700 SP from the April month expiry was the most active put with an addition of 1,05,550 units open interests. The maximum OI outstanding for Calls was at 18000 SP (1,98,561 units) and that for Puts was at 17700 SP (2,76,203 units). The respective Support and Resistance levels of Nifty are: Resistance 17,794.43 -- Pivot Point 17,703.47 -- Support -- 17,652.43.
The Nifty Put Call Ratio (PCR) finally stood at (1.02) for April month contract. The top five scrips with highest PCR on Tata Communications (1.73), Bajaj Auto (1.21), Godrej Properties (1.18), Bandhan Bank (1.11) and AU Small Finance Bank (1.07).
Among most active underlying, HDFC Bank witnessed a contraction of 3,899 units of Open Interest in the April month futures, ICICI Bank witnessed an addition of 2,415 units of Open Interest in the April month futures, Reliance Industries witnessed an addition of 4,293 units of Open Interest in the April month futures, Axis Bank witnessed a contraction of 2,671 units of Open Interest in the April month futures and SBIN witnessed a contraction of 4,926 units of Open Interest in the April month futures. (Provisional)
