Technical & Derivatives Report
October 26, 2016
Sensex (28091) / Nifty (8691)
Exhibit 1: Nifty Daily Chart
Yesterday too our benchmark index opened slightly higher in line
with Asian bourses. However, the lead was very short lived as the
Nifty posted a open-high and immediately corrected below the
8700 mark. During the remaining part of the day, the index
traded with some volatility, however, the bias remained on the
negative side.
Clearly since last few days, the Nifty has been struggling below
the 8745 mark which we have been mentioning as a crucial
resistance level. Yesterday's close was not so encouraging for the
bulls and hence, a possibility of a corrective move towards 8650 -
8620 in next couple of days cannot be ruled out.
Key Levels
Support 1 - 8650
Resistance 1 - 8745
Support 2 - 8620
Resistance 2 - 8785
Exhibit 2: Nifty Bank Daily Chart
Nifty Bank Outlook - (19835)
The Nifty Bank index opened gap up yesterday around the 61.8%
resistance zone of the recent corrective move. The index corrected
post opening from the opening levels; however; managed to
close the session with a marginal gain of 0.14 percent.
Yesterday's candle on daily charts of Nifty Bank index resembles a
'Hanging Man' pattern, which is a bearish pattern if formed post a
significant rally. Although the bearish view according to the
pattern will be activated below yesterday's low; the formation of
the same near the 61.8% retracement resistance is a negative
sign. Further, on the hourly chart, there is also a formation of
Bearish Harmonic Pattern called ‘Bearish Alt Bat’, whose potential
Reversal Zone (PRZ) is placed at 19868 - 19945 zone. Hence,
traders are advised to remain cautious at current levels. The
intraday supports for the Nifty Bank index are placed around
19710 and 19580 whereas resistance is seen in the range of
19869 - 19945.
Key Levels
Support 1 - 19710
Resistance 1 - 19869
Support 2 - 19580
Resistance 2 - 19945
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1
Technical & Derivatives Report
October 26, 2016
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 4.10%
BankNifty futures open interest has increased by 9.05%
as market closed at 8691.30 levels.
The Nifty October future closed with a premium of 9.05
against the premium of 11.30 points in last trading
session. The November series closed at a premium of
51.15 points.
The Implied Volatility of at the money options has
decreased from 14.15% to 13.81%. At the same time,
the PCR-OI of Nifty has decreased from 1.00 to 0.98
levels.
The total OI of the market is Rs. 3,02,961/- cr. and the
stock futures OI is Rs. 88,020/- cr.
Few of the liquid counters where we have seen high cost
of carry are JUBLFOOD, IDEA, JPASSOCIAT,
HEROMOTOCO and JETAIRWAYS.
Views
OI Gainers
Yesterday, FIIs were net sellers in both cash market and
OI
PRICE
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
index future segment. They sold equities to the tune of
ARVIND
10176000
59.45
403.40
12.10
Rs. 606 crores. While, in index futures, they sold worth
CEATLTD
2050300
28.02
1266.20
-0.57
Rs. 764 crores with some rise in open interest, indicating
SAIL
87456000
21.75
50.75
1.91
short build-up in previous trading session.ww.angelbroking.com
FEDERALBNK
47542000
19.19
81.25
8.33
On Index Options front, FIIs sold of worth Rs. 836 crores
ADANIPORTS
23297500
18.38
313.75
9.65
with marginal change in OI. In call options, 8700 -
ADANIPOWER
157840000
18.34
25.90
-4.07
8900 strikes were active and added good amount of
SOUTHBANK
55980000
15.47
24.25
-0.61
fresh positions; followed by some unwinding 9000 strike.
MARUTI
2266800
13.44
5797.90
1.18
On the other hand, in put options, except some
unwinding in 8200 and 8700 strikes, we did not see any
meaningful activity. Maximum OI in October series is
OI Losers
placed at 9000 call and 8600 put option.
OI
PRICE
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
As we mentioned in our previous report that the
ORIENTBANK
12864000
-19.73
133.75
-3.25
derivative data doesn’t support the ongoing up move
TV18BRDCST
91494000
-12.37
45.40
-0.55
and formation of directional positions by FIIs will dictate
IDBI
43400000
-7.45
74.55
-2.93
further move in the index. Yesterday, we witness addition
BANKINDIA
27294000
-6.61
113.75
-0.74
of fresh shorts in Index Futures. However, we would wait
MINDTREE
3861600
-5.50
455.75
-0.40
for some follow-up activity from FIIs desk. Thus, at
JUSTDIAL
3809600
-5.27
448.30
-0.36
current juncture, we advise traders to avoid forming any
aggressive directional trade in Nifty for October expiry.
HEXAWARE
7218000
-5.08
202.60
2.56
ICIL
867600
-4.99
821.95
5.85
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
ARVIND
64.33
NIFTY
0.98
0.87
CADILAHC
31.25
BANKNIFTY
1.19
1.01
DRREDDY
25.97
RELIANCE
0.31
0.35
ADANIPORTS
65.98
INFY
0.51
0.50
FEDERALBNK
58.05
ICICIBANK
1.23
0.89
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2
Technical & Derivatives Report
October 26, 2016
FII Statistics for 25, October 2016
Turnover on 25, October 2016
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
6741.64
7505.19
(763.56)
278263
18874.08
1.63
318383
21916.24
39.05
FUTURES
FUTURES
INDEX
INDEX
34311.86
35147.70
(835.83)
1152710
77022.93
(0.14)
4557263
317268.31
18.83
OPTIONS
OPTIONS
STOCK
23061.07
22871.92
189.16
956904
64424.20
3.95
STOCK
FUTURES
1177925
82543.40
29.68
FUTURES
STOCK
STOCK
6661.71
6744.91
(83.19)
127264
8752.15
2.53
OPTIONS
565432
41056.71
36.43
OPTIONS
TOTAL
70776.29
72269.72
(1493.43)
2515141
169073.35
1.71
TOTAL
6619003
462784.65
22.92
Nifty Spot = 8691.30
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
8600
107.65
Buy
8800
104.90
70.25
29.75
8670.25
66.30
33.70
8733.70
Sell
8700
37.40
Sell
8700
38.60
Buy
8600
107.65
Buy
8800
104.90
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100.35
99.65
8700.35
93.70
106.30
8706.30
Sell
8800
7.30
Sell
8600
11.20
Buy
8700
37.40
Buy
8700
38.60
30.10
69.90
8730.10
27.40
72.60
8672.60
Sell
8800
7.30
Sell
8600
11.20
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
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Technical & Derivatives Report
October 26, 2016
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ACC
1,535
1,544
1,556
1,564
1,576
ADANIPORTS
267
290
303
326
340
AMBUJACEM
245
247
248
250
251
ASIANPAINT
1,097
1,118
1,138
1,160
1,180
AUROPHARMA
813
819
825
831
837
AXISBANK
516
522
527
534
538
BAJAJ-AUTO
2,774
2,788
2,800
2,813
2,825
BANKBARODA
153
155
157
159
161
BHEL
137
138
140
142
144
BPCL
668
677
682
691
696
BHARTIARTL
298
305
309
316
319
INFRATEL
363
371
378
386
393
BOSCH
22,316
22,469
22,704
22,857
23,092
CIPLA
575
580
587
592
599
COALINDIA
315
317
321
323
326
DRREDDY
3,019
3,110
3,159
3,250
3,300
EICHERMOT
24,327
24,479
24,752
24,903
25,176
GAIL
426
430
438
443
450
GRASIM
957
965
971
979
985
HCLTECH
797
801
806
810
815
HDFCBANK
1,230
1,240
1,254
1,264
1,278
HDFC
1,317
1,329
1,339
1,350
1,361
HEROMOTOCO
3,318
3,337
3,351
3,370
3,384
HINDALCO
145
148
150
153
155
HINDUNILVR
817
825
837
845
857
ICICIBANK
281
285
288
292
295
IDEA
73
74
75
77
78
INDUSINDBK
1,196
1,203
1,211
1,218
1,226
INFY
1,000
1,009
1,024
1,032
1,047
ITC
235
237
240
242
245
KOTAKBANK
774
780
787
793
799
LT
1,467
1,475
1,487
1,496
1,508
LUPIN
1,507
1,517
1,530
1,540
1,554
M&M
1,273
1,289
1,315
1,330
1,356
MARUTI
5,695
5,738
5,769
5,812
5,842
NTPC
148
150
151
153
154
ONGC
284
286
290
292
296
POWERGRID
174
176
178
180
181
RELIANCE
1,049
1,055
1,060
1,066
1,071
SBIN
258
260
262
264
266
SUNPHARMA
738
743
751
756
764
TCS
2,364
2,381
2,398
2,415
2,432
TATAMTRDVR
352
358
361
367
370
TATAMOTORS
543
548
555
560
567
TATAPOWER
80
81
82
83
84
TATASTEEL
403
409
414
420
425
TECHM
425
430
434
438
442
ULTRACEMCO
3,938
3,977
4,005
4,044
4,072
WIPRO
476
479
482
484
487
YESBANK
1,293
1,301
1,306
1,314
1,320
ZEEL
499
506
514
522
530
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Technical & Derivatives Report
October 26, 2016
Research Team Tel: 022 - 39357800
Website: www.angelbroking.com
For Technical Queries
E-mail: [email protected]
For Derivatives Queries
E-mail: [email protected]
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