Technical & Derivatives Report
January 02, 2017
Sensex (26626) / Nifty (8186)
Exhibit 1: Nifty Weekly Chart
It was a remarkable week for traders (especially bulls) as we not
only saw respite after a decent corrective move but also a
stupendous recovery after posting a low of 7893.80 on Monday.
More importantly, this bounce back looked robust as we
witnessed a strong buying interest across the broader market.
Referring to our previous articles, it is quite evident that our recent
strategy to hunt for buying opportunities in dips has worked well
for us.
Technically speaking, we were seeing 7900 as a major support
for Nifty as it coincided with recent lows as well as 50% Fibonacci
retracement level of the entire rally from 6825.80 to 8968.70.
Now, due to the recent recovery, this support has become
sacrosanct level for the index. During the week, we expected Nifty
to bounce back towards 8100; but Friday’s move has confirmed
a key price development on monthly chart. We can now observe
a ‘Bullish Hammer’ on monthly chart along with prices closing
above the ’20 EMA’ level of 8137. This has provided a conviction
of breaking the recent swing high of 8274.95 quite soon. In this
scenario, Nifty may extend the rally towards 8400-8460 level.
On the flipside, 8100-8020 would be seen strong support zone
in the forthcoming week. To summarize, traders should continue
to remain optimistic in the market and focus more on individual
stocks in order to find potential trades.
Key Levels
Support 1 - 8100
Resistance 1 - 8230
Support 2 - 8020
Resistance 2 - 8275
Nifty Bank Outlook - (18177)
Exhibit 2: Nifty Bank Daily Chart
During last week, the Nifty Bank index rallied higher from its
weekly '89EMA' support, which was placed around 17600. The
index ended Friday's session near the highest point of the week
and posted weekly gains of 1.64 percent.
With formation of a 'Higher Top Higher Bottom' structure on the
intraday chart, the short-term trend for the Nifty Bank index is
positive. However, the index has a resistance around 18260
which is the '200 SMA' on the hourly chart. Considering the short
term trend, we expect the index to breach the mentioned
resistance and hence, we continue to advise traders to trade with
positive bias. The intraday supports for the Nifty Bank index are
placed around 18050 and 17927 whereas resistances are seen
around 18260 and 18440.
Key Levels
Support 1 - 18050
Resistance 1 - 18260
Support 2 - 17927
Resistance 2 - 18440
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Technical & Derivatives Report
January 02, 2017
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 6.85%
BankNifty futures open interest has increased by 6.02%
as market closed at 8185.80 levels.
The Nifty January future closed with a premium of 1.60
points against the premium of 13.70 points in last
trading session. The February series closed at a premium
of 22.65 points.
The Implied Volatility of at the money options has
decreased from 13.76 % to 13.27%. At the same time,
the PCR-OI of Nifty has increased from 1.00 to 1.05
levels.
The total OI of the market is Rs. 2,07,133/- cr. and the
stock futures OI is Rs. 66,401/- cr.
Few of the liquid counters where we have seen high
cost of carry are GMRINFRA, JPASSOCIAT, ICIL,
ADANIPOWER and PTC.
Views
OI Gainers
On Friday, FIIs were net sellers in equity cash segment
OI
PRICE
worth Rs. 586 crores. While, in index futures, they were
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
net buyer to the tune of Rs. 753 crores with rise in open
PCJEWELLER
781500
26.15
375.95
2.04
interest, indicating long build-up in previous trading
ADANIENT
16024000
18.31
76.85
4.70
session.
JPASSOCIAT
137292000
14.78
8.10
8.00
On Index Options front, FIIs bought worth Rs. 1511
PAGEIND
38350
14.65
12937.25
-4.08
crores with significant rise in OI. In call options, 8100 -
IGL
1459700
12.27
914.00
1.80
8600 strikes added fresh positions; followed by some
WOCKPHARMA
3204600
12.09
658.85
1.04
unwinding in 8000 strike. On the other hand, in put
VOLTAS
4214000
11.19
316.40
-1.36
options, good amount of build-up was seen in 8200 -
ARVIND
5842000
11.15
353.65
5.47
7800 strikes. Maximum OI in January series is placed at
8200 call and 8000 put options.
OI Losers
In the mid of December series, we witness mixed activity
OI
PRICE
by FIIs. However, majority of positions formed were on
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
short side. In last 2-3 trading sessions of December
ABIRLANUVO
3616400
-7.21
1285.00
3.13
series, we witnessed good amount of short covering
BATAINDIA
2706000
-2.77
443.40
-0.26
bounce which lead expiry above 8100 mark. At present,
CESC
1760000
-2.56
640.40
0.05
most of the shorts are out of system. On Friday, we also
BAJFINANCE
7923000
-2.54
838.65
0.80
saw fresh long addition in Index Futures and FIIs too
HEXAWARE
4176000
-2.11
207.90
0.92
actively participate in this move. Thus, looking at the
IDBI
28200000
-1.56
69.60
-0.07
above data, we believe that the Nifty may continue to
IFCI
60676000
-1.43
27.30
-2.85
show strength. Traders are advised to trade with a
RELCAPITAL
10840500
-1.01
432.20
1.36
positive bias unless we see any relevant change in data.
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
ENGINERSIN
74.21
NIFTY
1.05
0.95
JPASSOCIAT
62.62
BANKNIFTY
1.07
0.76
ARVIND
49.43
SUNPHARMA
0.66
0.45
ADANIENT
43.34
INFY
0.89
0.58
GAIL
28.49
RELIANCE
0.63
0.51
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Technical & Derivatives Report
January 02, 2017
FII Statistics for December 30, 2016
Turnover on December 30, 2016
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
1895.87
1143.11
752.76
164026
10337.93
6.90
188808
12349.10
-53.07
FUTURES
FUTURES
INDEX
INDEX
24198.97
22688.26
1510.71
755617
46923.58
14.31
2312395
152808.30
-71.08
OPTIONS
OPTIONS
STOCK
5655.10
4835.19
819.91
839368
50525.05
1.28
STOCK
FUTURES
423373
26604.58
-63.57
FUTURES
STOCK
STOCK
2087.54
1926.64
160.90
20068
1233.81
697.93
200936
13045.19
-49.66
OPTIONS
OPTIONS
TOTAL
33837.47
30593.19
3244.28
1779079
109020.37
8.10
TOTAL
3125512
204807.17
-68.66
Nifty Spot = 8185.80
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
8200
109.70
Buy
8100
87.85
45.00
55.00
8245.00
25.20
74.80
8074.80
Sell
8300
64.70
Sell
8000
62.65
Buy
8200
109.70
Buy
8100
87.85
75.85
124.15
8275.85
44.05
155.95
8055.95
Sell
8400
33.85
Sell
7900
43.80
Buy
8300
64.70
Buy
8000
62.65
30.85
69.15
8330.85
18.85
81.15
7981.15
Sell
8400
33.85
Sell
7900
43.80
Note: Above mentioned Bullish or Bearish Spreads in Nifty (January Series) are given as an information and not as a recommendation.
Nifty Put-Call Analysis
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Technical & Derivatives Report
January 02, 2017
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ACC
1,300
1,315
1,326
1,341
1,352
ADANIPORTS
261
265
268
272
275
AMBUJACEM
200
203
205
208
211
ASIANPAINT
877
884
890
897
902
AUROPHARMA
644
657
665
677
685
AXISBANK
442
446
449
453
456
BAJAJ-AUTO
2,603
2,617
2,642
2,656
2,681
BANKBARODA
150
152
153
154
155
BHEL
118
120
121
122
123
BPCL
626
631
635
639
643
BHARTIARTL
297
301
304
308
311
INFRATEL
333
338
342
347
351
BOSCH
20,417
20,733
20,967
21,283
21,517
CIPLA
561
565
569
573
577
COALINDIA
294
297
299
302
304
DRREDDY
3,033
3,047
3,061
3,075
3,089
EICHERMOT
21,468
21,635
21,768
21,935
22,068
GAIL
416
427
435
447
455
GRASIM
828
845
857
875
887
HCLTECH
809
819
824
834
839
HDFCBANK
1,194
1,200
1,206
1,212
1,218
HDFC
1,240
1,251
1,261
1,272
1,281
HEROMOTOCO
3,009
3,026
3,045
3,062
3,081
HINDALCO
152
153
155
156
158
HINDUNILVR
814
820
825
831
836
ICICIBANK
249
252
255
258
261
IDEA
71
73
74
75
76
INDUSINDBK
1,089
1,098
1,107
1,117
1,126
INFY
986
998
1,005
1,017
1,024
ITC
234
238
240
244
246
KOTAKBANK
710
715
719
724
728
LT
1,338
1,344
1,350
1,355
1,361
LUPIN
1,462
1,475
1,482
1,495
1,502
M&M
1,165
1,175
1,182
1,192
1,199
MARUTI
5,259
5,289
5,333
5,364
5,408
NTPC
162
163
164
166
167
ONGC
189
190
192
193
195
POWERGRID
178
181
183
186
188
RELIANCE
1,055
1,069
1,077
1,091
1,099
SBIN
245
248
250
253
255
SUNPHARMA
611
620
626
636
642
TCS
2,330
2,348
2,363
2,381
2,396
TATAMTRDVR
293
296
298
301
303
TATAMOTORS
464
468
472
476
479
TATAPOWER
73
75
76
78
79
TATASTEEL
384
388
392
395
399
TECHM
477
483
488
494
499
ULTRACEMCO
3,182
3,216
3,250
3,284
3,318
WIPRO
469
472
474
477
479
YESBANK
1,138
1,147
1,154
1,163
1,170
ZEEL
443
448
452
457
460
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Technical & Derivatives Report
January 02, 2017
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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