Nifty ends near 6100 on Infy's guidance

After a blockbuster rally, Nifty ended just near 6100 level buoyed by strong Infosys numbers amid firm global cues. The IT major upped its lower end of dollar revenue growth guidance for the current fiscal.

Buoyed by firm global cues, Index made a gap-up opening above the 6100 level however as volatility continued on street and the Index pared initial gains to take support at the 6050 level. Further, Nifty regained strength in morning late trades, after buying was witnessed in the information technology (IT) major, which revised its FY14 revenue guidance to 9-10% from 6-10% in dollar terms. Infosys, on the consolidated basis, registered a growth of 1.60% in net profit at Rs 2407 crore as compared to Rs 2369 crore in the same quarter previous year.

Firmness continued on street, index got some in afternoon trade after Finance Minister P Chidambaram stated that he is confident that Indian economy will soon regain its momentum and grow at over 5% and perhaps closer to 5.5% in fiscal 2013-14 despite predictions to the contrary. Further, appreciation in rupee value and firm global cues also added to optimistic sentiments. In last leg of trade, index managed to close just near the 6100 level mainly buying witnessed in banking sector after the Reserve Bank of India allowed banks to raise funds from global multilateral institutions until 30 November 2013, as long as the money raised is for general banking purposes and not for capital enhancement.

NSE sectoral indices made a green closing. CNX Bank up by 3.24%, CNX IT up by 3.10%, CNX Realty 2.83%, CNX Service up by 2.26% and CNX Finance up by 2.22%. On the other hand, CNX Metal down by 1.43%, CNX Pharma down by 1.16%, CNX FMCG down by 0.90%, CNX Consumption down by 0.89% and CNX PSE down by 0.59% were the losers.

The India VIX decreased by 8.84 % at 23.59 as compared to its previous close of 25.88 on Thursday. The 50-share CNX Nifty inclined by 75.25 points or 1.25% to settle at 6,096.20.

Nifty October 2013 futures closed at 6130.50 on Friday at a premium of 34.30 points over spot closing of 6,096.20, while Nifty November 2013 futures ended at 6175.80 at a premium of 79.60 points over spot closing. Nifty October futures saw an addition of 0.97 million (mn) units taking the total outstanding open interest (OI) to 17.83 mn units. The near month October 2013 derivatives contract will expire on October 31, 2013.

From the most active contracts, DLF October 2013 futures last traded at a premium of 1.05 points at 155.40 compared with spot closing of 154.35. The number of contracts traded was 16,889.

Tata Motors October 2013 futures were at a premium of 1.55 points at 385.95 compared with spot closing of 384.40. The number of contracts traded was 29,214. 

Yes Bank October 2013 futures last traded at a premium of 4.15 points at 350.15 compared with spot closing of 346.00. The number of contracts traded was 20,054.

Ranbaxy Laboratories October 2013 futures were at a premium of 3.45 points at 401.55 compared with spot closing of 398.10. The number of contracts traded was 16,493. 

Reliance Industries October 2013 futures last traded at a premium of 6.40 points at 870.00 compared with spot closing of 863.60. The number of contracts traded was 17,464.

Among Nifty calls, 6,100 SP from the October month expiry was the most active call with contraction of 0.66 million open interest.

Among Nifty puts, 5,700 SP from the October month expiry was the most active put with contraction of 0.74 million open interest.

The maximum OI outstanding for Calls was at 6,100 SP (4.55mn) and that for Puts was at 5,700 SP (5.41 mn).

The respective Support and Resistance levels of Nifty are: Resistance 6120.4 -- Pivot Point 6083.4-- Support -- 6059.2.

The Nifty Put Call Ratio (PCR) OI wise, stood at 1.30 for October month contract. The top five scrips with highest PCR on OI were, Havells 3.56, Tata Motors 1.62,Finan Tech 1.51, Bank India 1.47, and  Indus INDBK 1.41.

Among most active underlying, SBI witnessed an addition of 0.05 million of Open Interest in the October month futures contract followed by United Spirits with an contraction of 0.04 million Open Interest in the near month contract; Reliance Industries witnessed addition of 0.27 million of Open Interest in the October month futures. Yes Bank witnessed an addition of 0.28 million in Open Interest in the October month contract and ICICI Bank witnessed an addition of 0.47 million in Open Interest in the near month futures contract.