Technical & Derivatives Report
January 02, 2018
Sensex (33813) / Nifty (10436)
Exhibit 1: Nifty Daily Chart
The inaugural trading day of the new calendar year began on a flat
note in absence of its major global peers. Subsequently, we saw
consolidation within a slender range for the major part of the
session. However, a sharp decline in last 45 minutes of the trade
dragged the index significantly lower to conclude the session with
nearly a percent cut.
Undoubtedly, this is not a kind of start most of the traders might have
wished for after enjoying a good Bull Run in the year gone by and
especially after having a fantastic close last Friday at record highs.
But, this is how market functions as it mostly prefers to give surprises
and likes to catch consensus’ view on the wrong foot. If we refer to
our previous articles, we have been avoiding trading in index and
were anticipating a possibility of some profit booking at higher levels.
Probably, traders chose to take some money off the table in a hurry
and hence, the index tumbled nearly 100 points before anyone could
realize it. Now, the Nifty has violated 10460 on a closing basis and
the other crucial support (10426) on an intraday basis. Ideally, longs
should remain intact till it convincingly breaks 10426; but the way it
has come off yesterday from highs, it is certainly not an encouraging
sign. Hence, looking at the ‘Lower Top Lower Bottom’ structure on
hourly chart, we advise traders exiting longs on any bounce towards
10460 - 10490 levels. On the downside, the possibility of further
weakness towards 10380 - 10340 has now increased. Although,
recently, we saw few whipsaws in the downward direction, traders are
advised to stay light and avoid taking undue risks. Yesterday, the
banking space was the major culprit in the tail end decline and
hence, one needs to keep a close watch on this basket as well.
Key Levels
Support 1 - 10380
Resistance 1 - 10460
Support 2 - 10340
Resistance 2 - 10490
Nifty Bank Outlook - (25318)
Exhibit 2: Nifty Bank Daily Chart
The Nifty Bank index started the New Year around its previous
session's close. However, post trading in a narrow range during the
day, the index corrected in the last hour of the day and ended the
session with a loss of 0.87 percent. Since last few sessions, the index
has already been underperforming the broader market and has not
been able to cross its resistance zone of 25750-25800.The corrective
move yesterday clearly indicates a lack of buying interest and a loss
of momentum in the banking space. Hence, unless any volume-
based buying is seen in the index heavyweights, the
underperformance in the banking sector is likely to continue. Thus, in
line with our previous articles, we continue with our advice to avoid
trading aggressively in this space and follow a stock specific
approach with proper risk management strategy.
Key Levels
Support 1 - 25185
Resistance 1 - 25500
Support 2 - 25130
Resistance 2 - 25600
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Technical & Derivatives Report
January 02, 2018
Comments
Nifty Vs OI
The Nifty futures open interest has decreased by 2.89%
BankNifty futures open interest has increased by 4.79%
as market closed at 10435.55 levels.
The Nifty January future closed with a premium of 63.15
points against a premium of 26.20 points in last trading
session. The February series closed at a premium of
85.65 points.
The INDIA VIX has increased from 12.67 to 13.35. At the
same time, the PCR-OI of Nifty has decreased from 1.62
to 1.56 level.
Few of the liquid counters where we have seen high cost
of carry are CIPLA, GODREJIND, BOSCHLTD,
BAJFINANCE and UPL.
(`000)
Openinterest
Nifty
30,000
10600
Views
OI Gainers
FIIs were net buyers in cash market segment to the tune
OI
PRICE
SCRIP
OI
PRICE
of Rs. 326. At the same time, they were sellers in index
CHG. (%)
CHG. (%)
futures of Rs. 188 crores with rise in open interest,
RNAVAL
24255000
54.80
65.45
31.96
indicating blend of fresh long and short formation in
TATAPOWER
70785000
8.51
97.55
3.56
yesterday’s trading session.
PCJEWELLER
8055000
7.92
471.90
2.59
In index options front, they were buyers of Rs. 424 crores
BERGEPAINT
2019600
7.24
270.25
-0.04
with rise in open interest. As far as options activities for
BEL
21012750
5.70
182.65
-0.44
January series are concerned, build-up was scattered
RCOM
107156000
5.43
35.25
-0.14
between 10500-11000 put options. On the flip side,
JETAIRWAYS
6460800
5.16
846.10
1.04
10100 put option added huge OI; some build-up was
MCX
4030500
4.93
926.55
0.84
also seen in
9900 and
10200 strikes. Maximum
concentration of open interest is now placed at 11000
call; followed by 10700 strikes; whereas, in put options is
OI Losers
seen in 10300 strike price.
OI
PRICE
SCRIP
OI
PRICE
Post some range-bound move, we saw huge selling
CHG. (%)
CHG. (%)
pressure in the final hour of trade to conclude the session
HDIL
42669000
-13.01
64.50
-2.27
below 10450. However, we hardly saw any major selling
MGL
1068600
-6.51
1121.70
1.79
in F&O segment. Nifty Futures premium shot up to 63
COLPAL
1010100
-4.69
1099.05
-0.15
from 26, which is a positive indication. At present,
VGUARD
3078000
-4.65
240.75
-1.75
10350-10400 is a strong support zone and as long as
JPASSOCIAT
235790000
-4.13
25.10
-4.02
index remains above these levels, one should avoid
BATAINDIA
1656600
-3.95
758.25
0.74
forming any bearish bet and prefer stock specific
PTC
18936000
-3.94
120.20
0.54
approach.
AXISBANK
45316800
-3.88
566.60
0.24
Put-Call Ratio
Historical Volatility
SCRIP
PCR-OI
PCR-VOL
SCRIP
HV
NIFTY
1.56
1.09
RNAVAL
150.33
BANKNIFTY
0.91
0.90
RPOWER
112.30
RELIANCE
0.45
0.40
TATAPOWER
34.45
RCOM
0.98
0.40
BHEL
28.43
TATAMOTORS
0.54
0.36
HINDUNILVR
19.57
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Technical & Derivatives Report
January 02, 2018
FII Statistics for January 01, 2018
Turnover on January 01, 2018
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
524.13
712.09
(187.96)
161514
13045.97
3.91
143137
12161.31
-8.55
FUTURES
FUTURES
INDEX
INDEX
7255.56
6831.34
424.22
656612
52542.50
3.11
2269171
211337.24
15.32
OPTIONS
OPTIONS
STOCK
4153.29
4480.20
(326.91)
914283
67470.63
0.38
STOCK
FUTURES
607665
45361.67
-15.00
FUTURES
STOCK
STOCK
2521.54
2582.77
(61.23)
30556
2333.78
21.31
328656
25624.41
-7.73
OPTIONS
OPTIONS
Total
14454.52
14606.40
(151.87)
1762965
135392.87
2.01
TOTAL
3348629
294484.63
6.05
Nifty Spot = 10435.55
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
10500
125.05
Buy
10500
130.35
48.40
51.60
10548.40
37.80
62.20
10462.20
Sell
10600
76.65
Sell
10400
92.55
Buy
10500
125.05
Buy
10500
130.35
82.60
117.40
10582.60
66.85
133.15
10433.15
Sell
10700
42.45
Sell
10300
63.50
Buy
10600
76.65
Buy
10400
92.55
34.20
65.80
10634.20
29.05
70.95
10370.95
Sell
10700
42.45
Sell
10300
63.50
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, 2018
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ADANIPORTS
392
396
402
406
411
AMBUJACEM
260
264
269
273
277
ASIANPAINT
1,122
1,133
1,149
1,160
1,176
AUROPHARMA
670
677
688
695
706
AXISBANK
556
561
565
570
575
BAJAJ-AUTO
3,235
3,262
3,304
3,331
3,372
BAJFINANCE
1,696
1,711
1,735
1,750
1,775
BPCL
497
503
513
519
529
BHARTIARTL
518
523
530
536
543
INFRATEL
361
366
373
377
384
BOSCHLTD
19,121
19,456
20,038
20,374
20,956
CIPLA
601
606
612
617
623
COALINDIA
261
264
266
268
270
DRREDDY
2,369
2,387
2,411
2,429
2,453
EICHERMOT
29,484
29,689
30,054
30,259
30,624
GAIL
492
495
500
503
508
HCLTECH
867
873
882
888
897
HDFCBANK
1,832
1,843
1,862
1,873
1,892
HDFC
1,657
1,670
1,691
1,704
1,724
HEROMOTOCO
3,696
3,723
3,766
3,793
3,836
HINDALCO
265
268
273
276
281
HINDPETRO
407
410
416
419
425
HINDUNILVR
1,324
1,334
1,351
1,361
1,377
IBULHSGFIN
1,170
1,194
1,219
1,243
1,268
ICICIBANK
306
308
311
313
316
IOC
386
388
390
392
394
INDUSINDBK
1,595
1,609
1,633
1,647
1,670
INFY
1,022
1,028
1,036
1,042
1,051
ITC
258
260
263
265
268
KOTAKBANK
988
994
1,003
1,009
1,018
LT
1,245
1,253
1,264
1,271
1,282
LUPIN
873
878
885
890
897
M&M
733
739
749
755
765
MARUTI
9,531
9,591
9,690
9,751
9,849
NTPC
175
176
177
177
178
ONGC
190
191
193
195
197
POWERGRID
198
199
200
202
203
RELIANCE
898
904
913
919
929
SBIN
302
305
309
311
315
SUNPHARMA
563
568
577
583
591
TCS
2,599
2,622
2,658
2,682
2,718
TATAMOTORS
414
419
428
433
442
TATASTEEL
710
716
726
732
742
TECHM
495
499
504
508
513
ULTRACEMCO
4,196
4,226
4,273
4,303
4,350
UPL
742
749
759
766
777
VEDANTA
317
321
327
331
337
WIPRO
305
311
315
321
326
YESBANK
307
310
314
316
320
ZEEL
568
573
580
586
593
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Technical & Derivatives Report
January 02, 2018
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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