INSUBCONTINENT EXCLUSIVE:
Authors: Super UserBy Chandan TapariaThe Nifty index opened in the positive and sustained buying was seen throughout the session before the
index settled near the day’s high point.
It finally negated formation of lower highs and lower lows on the daily scale and formed a
bullish candle, which suggested buying at lower levels
As long as Nifty holds above 10,680, it can extend rally towards 10,780 and then 10,800 levels, while below 10,680 it could slip towards
10,638 and then 10,600 levels.
On the options front, maximum Put open interest stood at 10,500 followed by 10,600 while maximum Call OI was
at 11,000 followed by 10,800
There was Put writing at strike prices 10,600 and 10700, while Call unwinding was seen at all strike prices, creating room for further
rise.
Options data suggested an immediate trading range between 10,650 and 10,850 levels
India VIX rose 2.94 per cent to 13.64.
Bank Nifty opened flat and continued to move up towards the 25,900 level
It formed a bullish candle on the daily scale, which implies the bulls were holding a tight grip on the market
As long as it holds above 25,750, Nifty50 can extend its move towards 26,000 and then 26,250 levels, while on the downside, supports are
seen at 25,750 and 25,500 levels.
Nifty futures closed in the positive with a gain of 0.78 per cent at 10,742
Long buildup was seen in Exide Industries, Jubilant Foodworks, Apollo Tyre, Federal Bank, PC Jeweller, DCB Bank, Amara Raja Battery and Bank
of India, while shorts were seen in Wockhardt Pharma, Tata Elxsi, Concor, IGL, Ajanta Pharma, STAR and Lupin.
(Chandan Taparia is Technical
Derivative Analyst at Motilal Oswal Securities
Investors are advised to consult financial advisers before taking an investment calls based on these observations)
