Sensex (35163) / Nifty (10585) Exhibit 1: Nifty Daily Chart Yesterday, we had a positive opening with marginal upside gap after Monday s good tail end buying. Subsequently, we saw the index adding further gains in the initial hour. However, Nifty struggled around 10600 and hence, we saw a decent dip during the midst of the day. Fortunately for traders, this intraday decline eventually got bought into and as a result, the Nifty managed to close well inside the positive territory. In our previous report, we had stated the interesting reading on RSI-Smoothened oscillator. The positive crossover in the technical tool has now started to prove its significance. We still maintain our view that the index is likely to extend this relief rally towards 10700 10750, which coincides with the downside gap area created on October 4 as well as the 200-day SMA. At present, a prudent strategy would be to ride this move and keep shifting stop losses higher. The immediate support now would be seen around 10550-10500. Momentum traders should capitalize on such moves and keep booking timely profits till the time picture becomes clear whether it s a relief rally or we are done with the correction. Key Levels Support 1 10550 Resistance 1 10650 Support 2 10500 Resistance 2 10700 Nifty Bank Outlook - (25589) Exhibit 2: Nifty Bank Daily Chart The Nifty Bank index opened marginally positive and crossed its '20 DEMA' in the opening trades. The index then rallied higher and crossed 25500 mark during the day. The index then consolidated in the latter half of the day and ended with gains of about eight-tenths of a percent. As mentioned in our previous report, the Nifty index was hovering around its '20 DEMA' and has crossed above the same after six weeks of the corrective phase. The index should continue the pullback move in near term towards 25820 which is the 38.2% retracement level of the recent correction. The near-term support for the index is placed around 25270 and 25150 whereas resistances are seen around 25820 and 25910. Key Levels Support 1 25270 Resistance 1 25820 Support 2 25150 Resistance 2 25910
Comments The Nifty futures open interest has increased by 5.10% Bank Nifty futures open interest has decreased by 0.59% as market closed at 10584.75 levels. The Nifty October future closed with a premium of 5.10 points against a premium of 4.95 points in last trading session. The November series closed at a premium of 54.65 points. The INDIA VIX has decreased from 18.88 to 17.37. At the same time, the PCR- of Nifty has increased from 1.20 to 1.24. Few of the liquid counters where we have seen high cost of carry are ADANIPOWER, HCC, SOUTHBANK, JPASSOCIAT and IDEA. Nifty Vs Views FIIs continued their selling streak in cash market segment, they sold to the tune of Rs. 1166 crores. At the same time, they bought worth Rs. 186 crores in index futures with some rise in open interest, indicating addition of some fresh longs in previous trading session. In options front, they bought of Rs. 1478 crores with rise in open interest. As far as Nifty options activities are considered, fresh addition was seen in 10600 call option; followed by unwinding in 10400 and 10500 strikes. On the flip side, 10400-10600 puts added decent positions. Maximum open interest for October series now stood at 11000 followed by 10700 call and in put options is firmly placed in 10000 strike. We started-off yesterday s session on a positive note and rallied towards 10600 mark. In the remaining part of the day, index remained range bound to conclude the session with gains of 72 points. We saw addition of fresh long positions in Nifty futures along with fresh writing in 10600 strike. We also witnessed some unwinding in OTM call strikes 10700 and 10800. Considering the above data points, we expect extension of recent upmove towards 10700-10750. Thus, traders with long shall continue holding their longs. Gainers JPASSOCIAT 174454000 68.62 7.35 8.03 BERGEPAINT 2301200 10.69 291.55 2.37 NBCC 28506000 10.39 56.40 3.85 HEROMOTOCO 1687600 10.16 2895.20 0.08 FEDERALBNK 50952000 10.01 81.65 8.19 INFRATEL 7021000 9.84 266.25-0.98 MCX 4440100 9.23 799.80 9.47 DHFL 13690500 8.29 268.80-4.95 Losers ESCORTS 4702500-7.67 638.90 6.69 CESC 5452150-7.10 930.80 2.66 SREINFRA 14189000-5.41 33.35 3.88 KPIT 10179000-4.88 213.55-1.56 CUMMINSIND 1102500-4.83 702.50-0.93 IGL 3407250-4.69 247.10 2.27 MOTHERSUMI 16057600-4.48 248.50-0.98 GRANULES 13100000-3.89 97.50-1.21 Historical Volatility HV SOUTHBANK 87.13 FEDERALBNK 59.41 MCX 73.28 PETRONET 36.06 TATACOMM 49.47 Put-Call Ratio PCR- PCR-VOL NIFTY 1.24 0.89 BANKNIFTY 1.19 0.90 RELIANCE 0.55 0.50 ICICIBANK 0.59 0.61 INFY 0.78 0.64
FII Statistics for October 16, 2018 Turnover on October 16, 2018 Detail Buy Sell Net Contracts Open Interest Value (in Cr.) Change (%) 2710.19 2523.88 186.31 280504 22358.88 0.48 97284.06 95806.16 1477.90 1042869 86041.12 1.58 12013.78 11695.34 318.44 1292331 85587.24 0.57 7477.41 7310.84 166.57 143330 9571.43 4.28 Instrument No. of Contracts Turnover ( in Cr. ) Change (%) 227598 20243.83-19.24 7197077 688233.51 19.83 797679 49577.15 0.84 702213 49225.66 11.42 Total 119485.45 117336.23 2149.22 2759034 203558.67 1.13 TOTAL 8924567 807280.15 16.53 Nifty Spot = 10584.75 Bull-Call Spreads Action Strike Price Risk Reward BEP Bear-Put Spreads Action Strike Price Risk Reward BEP Buy 10600 102.75 Sell 10700 58.65 44.10 55.90 10644.10 Buy 10600 114.40 Sell 10500 75.20 39.20 60.80 10560.80 Buy 10600 102.75 Sell 10800 29.80 72.95 127.05 10672.95 Buy 10600 114.40 Sell 10400 48.30 66.10 133.90 10533.90 Buy 10700 58.65 Sell 10800 29.80 28.85 71.15 10728.85 Buy 10500 75.20 Sell 10400 48.30 26.90 73.10 10473.10 Note: Above mentioned Bullish or Bearish Spreads in Nifty (October Series) are given as an information and not as a recommendation. Nifty Put-Call Analysis
Daily Pivot Levels for Nifty Constituents Scrips S2 S1 PIVOT R1 R2 ADANIPORTS 316 325 330 339 344 ASIANPAINT 1,237 1,252 1,268 1,283 1,298 AXISBANK 560 575 584 599 609 BAJAJ-AUTO 2,578 2,594 2,621 2,637 2,664 BAJFINANCE 2,242 2,275 2,319 2,352 2,395 BAJAJFINSV 5,473 5,565 5,658 5,750 5,842 BPCL 286 294 300 308 314 BHARTIARTL 286 290 293 297 300 INFRATEL 255 261 269 275 283 CIPLA 629 634 643 648 657 COALINDIA 272 274 276 278 280 DRREDDY 2,515 2,544 2,567 2,597 2,620 EICHERMOT 22,034 22,518 23,234 23,718 24,434 GAIL 341 347 352 358 363 GRASIM 888 897 904 913 921 HCLTECH 978 991 1,002 1,014 1,025 HDFCBANK 1,969 1,981 1,999 2,011 2,030 HDFC 1,687 1,722 1,748 1,782 1,808 HEROMOTOCO 2,852 2,874 2,893 2,914 2,933 HINDALCO 226 228 231 233 235 HINDPETRO 204 208 212 217 221 HINDUNILVR 1,512 1,529 1,543 1,560 1,574 IBULHSGFIN 846 877 927 957 1,007 ICICIBANK 310 315 319 324 328 IOC 132 134 135 137 139 INDUSINDBK 1,563 1,592 1,644 1,673 1,725 INFY 675 685 700 710 724 ITC 274 278 281 285 288 JSW STEEL 360 367 376 383 392 KOTAKBANK 1,154 1,165 1,173 1,184 1,192 LT 1,210 1,217 1,223 1,231 1,236 M&M 739 759 769 788 799 MARUTI 7,030 7,090 7,184 7,245 7,338 NTPC 161 162 164 166 167 ONGC 159 162 165 168 171 POWERGRID 183 185 187 189 191 RELIANCE 1,130 1,147 1,157 1,174 1,184 SBIN 261 265 268 273 276 SUNPHARMA 583 593 603 612 622 TCS 1,920 1,941 1,956 1,978 1,993 TATAMOTORS 183 185 186 187 189 TATASTEEL 561 567 575 581 590 TECHM 681 700 714 733 747 TITAN 801 806 813 818 824 ULTRACEMCO 3,650 3,702 3,758 3,809 3,865 UPL 626 634 641 649 656 VEDANTA 210 211 213 214 216 WIPRO 314 317 319 321 323 YESBANK 243 246 249 252 254 ZEEL 460 465 471 476 482
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