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February 02, 2021
Technical & Derivatives Report
Nifty
Bank Out
-
(
33089)
On Budget Day, the Bank Nifty witnessed a gap up opening courtesy
to strong opening by Indusind Bank and ICICI Bank. As the day
progressed the positive momentum augmented to witnessed an
astonishing rally probably ever seen on a budget day. The Bank Index
eventually ended with whooping gains of 8.26% at 33089. During the
previous two days, we witnessed outperformance by the bank index
as it ended in marginal green when the broader markets were
witnessing a strong selloff but what we saw yesterday was sheer
dominance to say that it single-handed pulled the broader markets
higher. Yesterday's mammoth rally has erased all the last week's
weakness and in fact, it has broken above previous high comfortably
to enter uncharted territory. Now the way the charts of Banking space
are placed we sense the positive momentum is likely to continue and
traders can continue with the stock-specific approach. As far as levels
are concerned, 33690 - 34000 is the immediate resistance whereas
32840 - 32500 is the immediate support.
Key Levels
Support 1 – 32840 Resistance 1 – 33690
Support 2 – 32500 Resistance 2 – 34000
Exhibit 1: Nifty Daily Chart
Se
nsex
(
48601)
/ Nifty
(
14281
)
Post the last week’s collapse, our markets started the day on a positive
note with optimistic expectations from the Union Budget. The indices
traded with a positive bias as the Finance Minster announced the budget
and then, we had a one way upmove post the budget speech to
conclude the day tad below 14300, with whopping gains of almost 5
percent.
We had a decent correction in the week before the Budget and the
market participants had high expectations as the Finance Minister had
indicated a ‘budget like never before’. There was no unfavourable
announcement and the market participants gave a big ‘Thumbs Upto
the budget. The Banking sector witnessed a ‘Once in a blue Moon’ kind
of move and the heavyweights from this sector witnessed soaring moves
to take the Bank Nifty higher which posted its new all-time high and
ended with gains of over 8 percent. All the sectors (except Pharma)
participated in the rally with many stocks posting phenomenal intraday
gains. With leadership back from the Banking heavyweights, the markets
seem to have resumed its uptrend and thus, another ‘Higher Bottom’ is
in place at last week’s low. Thus, one should prefer to trade with the
trend now until any negative signs seen and look for opportunities which
could continue to outperform. The near term trading range could be
wide given the recent volatility wherein the supports are now placed
around 14140 and 14000, wheres resistance could be seen around
14500.
Key Levels
Support 1 – 14140 Resistance 1 – 14450
Support 2 – 14000 Resistance2 – 14500
Exhibit 2: Nifty Bank Daily Chart
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Technical & Derivatives Report
February 02, 2021
Nifty Vs OI
13200
13400
13600
13800
14000
14200
14400
14600
14800
,0
2,000
4,000
6,000
8,000
10,000
12,000
14,000
16,000
1/21 1/25 1/28 2/1
(`000)
Openinterest Nifty
View
Our indices started the day on a positive note and rallied
sharply post the Budget speech. Nifty posted gains of
about 5 percent while the Bank Nifty outperformed and
posted gains of over 8 percent.
FIIs were net buyers in the cash segment to the tune of
Rs. 1494 crore. In index future segment, they bought worth
Rs. 2135 crore with decrease in open interest indicating
short unwinding and long formation in yesterday’s session.
Both Nifty as well as Bank Nifty moved higher due to a
combination of short covering as well as long formation.
FII's bought equities in the cash segment while they covered
their shorts and formed fresh long positions in the index
futures segment. Their 'Long Short Ratio' is back around 75
percent which indicates their positive outlook. In options
segment, call writers ran to cover their positions while put
writing was seen as the index moved higher. Looking at the
above data, we should see a continuation of the upmove
and hence, traders should look to adopt a buy on dip
strategy.
C
o
mme
n
t
s
The Nifty futures open interest has increased by 9.40%
Bank Nifty futures open interest has increased by 12.01%
as market closed at 14281.20 levels.
The Nifty February future closed with a premium of 70.05
point against a premium of 74.50 point in last trading
session. The March series closed at a premium of 102.40
point.
The INDIA VIX decreased from 25.34 to 23.32.
At the same time, the PCR-OI of Nifty increased from 0.98
to 1.41.
Few of the liquid counters where we have seen high cost
of carry are IDEA, GAIL, TORNTPOWER, SBIN AND
AARTIND.
OI Gainers
SCRIP OI
OI
CHG. (%)
PRICE
PRICE
CHG. (%)
INDUSINDBK 24099300 40.61 970.65 14.96
SAIL 134995000 38.96 63.60 9.55
ICICIPRULI 5926500 20.75 489.45 1.65
PAGEIND 73020 17.13 27815.25 2.58
CHOLAFIN 5185000 16.26 443.00 12.01
SIEMENS 848100 16.11 1686.45 6.30
IDFCFIRSTB 171608000 13.84 46.60 -1.71
GODREJPROP 1628900 12.13 1321.90 5.50
OI Losers
SCRIP OI
OI
CHG. (%)
PRICE
PRICE
CHG. (%)
CIPLA 13770900 -22.64 806.40 -2.84
RBLBANK 21552800 -18.79 236.85 12.47
SHREECEM 136400 -12.59 24540.85 7.36
RAMCOCEM 1227400 -10.37 836.45 7.36
EXIDEIND 11689200 -10.23 194.65 1.09
MGL 1487400 -8.69 1069.40 2.93
CUMMINSIND 1629600 -6.34 730.05 10.83
INDUSTOWER 9371600 -5.43 240.20 3.92
Put-Call Ratio
SCRIP PCR-OI PCR-VOL
NIFTY 1.41 0.90
BANKNIFTY 1.61 0.92
RELIANCE 0.46 0.46
ICICIBANK 1.14 0.51
INFY 0.47 0.52
Historical Volatility
SCRIP HV
CUMMINSIND 44.02
ICICIBANK 56.56
LT 42.21
SBIN 52.23
BAJAJFINSV 59.23
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Technical & Derivatives Report
February 02, 2021
Note: Above mentioned Bullish or Bearish Spreads in Nifty (February Series) are given as an information and not as a recommendation.
Nifty Spot =
14281.20
FII Statistics for February 01, 2020
Detail Buy
Net Contracts
Open Interest
Sell
Value
(in Cr.)
Change
INDEX
FUTURES
12258.58
10123.86
2134.72
113969
11574.32
(2.85)
INDEX
OPTIONS
516140.91
518660.65
(2519.74) 951510
95166.24
33.40
STOCK
FUTURES
23282.22
21932.35
1349.87
1177123
96218.53
3.03
STOCK
OPTIONS
13705.10
13683.63
21.47
102751
8434.11
14.67
Total 565386.81
564400.49
986.32
2345353
211393.20
13.71
Turnover on February 01, 2020
Instrume
nt
No. of
Contracts
Turnover
( in Cr. )
Change
(%)
Index Futures 7,83,911 71605.10 50.06
Index Options 3,92,39,209
35,11,956.38 127.08
Stock Futures 11,91,172 1,00,479.73 19.98
Stock Options 19,64,528 1,69,655.89 46.69
Total 4,31,78,820
38,53,697.10 114.84
Bull-Call Spreads
Action Strike Price Risk Reward BEP
Buy 14300 349.05
51.85 48.15 14351.85
Sell 14400 297.20
Buy 14300 349.05
104.60 95.40 14404.60
Sell 14500 244.45
Buy 14400 297.20
52.75 47.25 14452.75
Sell 14500 244.45
Bear-Put Spreads
Action Strike Price Risk Reward BEP
Buy 14300 296.70
39.85 60.15 14260.15
Sell 14200 256.85
Buy 14300 296.70
78.55 121.45 14221.45
Sell 14100 218.15
Buy 14200 256.85
38.70 61.30 14161.30
Sell 14100 218.15
Nifty Put-Call Analysis
,0
500,000
1000,000
1500,000
2000,000
2500,000
3000,000
13700 13800 13900 14000 14100 14200 14300 14400 14500 14600 14700 14800 14900 15000
Call Put
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Technical & Derivatives Report
February 02, 2021
Da
ily
Pivot Level
s for
Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ADANIPORTS
484
513
529
559
575
ASIANPAINT 2,340 2,394
2,431
2,485
2,522
AXISBANK
631
670
694
733
756
BAJAJ-AUTO 3,911 4,013
4,077
4,179
4,243
BAJFINANCE 4,522 4,790
4,935
5,204
5,349
BAJAJFINSV 8,199 8,960
9,400
10,161
10,600
BPCL
373
383
391
400
408
BHARTIARTL
538
559
570
590
602
BRITANNIA 3,446 3,483
3,521
3,558
3,595
CIPLA
755
781
806
832
857
COALINDIA
124
127
128
131
132
DIVISLAB 3,223 3,343
3,432
3,552
3,640
DRREDDY 4,282 4,355
4,466
4,540
4,651
EICHERMOT 2,634 2,738
2,803
2,908
2,973
GAIL
122
125
127
130
132
GRASIM 1,018 1,072
1,101
1,155
1,185
HCLTECH
882
905
919
943
957
HDFCBANK 1,372 1,424
1,453
1,506
1,535
HDFCLIFE
649
674
694
719
738
HDFC 2,314 2,447
2,524
2,657
2,735
HEROMOTOCO 3,163 3,252
3,306
3,395
3,450
HINDALCO
220
230
237
248
255
HINDUNILVR 2,194 2,222
2,253
2,280
2,312
ICICIBANK
530
567
588
625
647
IOC
92
94
95
97
98
INDUSINDBK
811
891
936
1,016
1,061
INFY 1,223 1,242
1,260
1,279
1,297
ITC
196
206
212
222
228
JSW STEEL
356
368
376
389
397
KOTAKBANK 1,655 1,728
1,769
1,842
1,883
LT 1,291 1,370
1,416
1,495
1,541
M&M
715
755
782
822
849
MARUTI 7,019 7,210
7,342
7,533
7,665
NESTLEIND 16,845
16,967
17,121
17,242
17,397
NTPC
87
89
91
93
95
ONGC
87
89
90
92
93
POWERGRID
180
184
187
191
194
RELIANCE 1,826 1,861
1,883
1,918
1,940
SBILIFE
830
852
875
897
919
SHREECEM 22,004
23,274
23,982
25,252
25,961
SBIN
271
291
302
322
334
SUNPHARMA
570
580
590
600
610
TCS 2,995 3,067
3,116
3,188
3,237
TATAMOTORS
246
263
272
289
299
TATASTEEL
582
609
625
652
667
TECHM
901
921
942
962
982
TITAN 1,393 1,447
1,478
1,532
1,563
ULTRACEMCO 5,066 5,405
5,599
5,938
6,132
UPL
492
513
531
552
570
WIPRO
402
412
418
427
433
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Technical & Derivatives Report
February 02, 2021
*
Research Team Tel: 022 – 39357600 (Extn. 6844) Website: www.angelbroking.com
For Technical Queries E-mail: [email protected]lbroking.com
For Derivatives Queries E-mail: deri[email protected].com
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Technical and Derivatives Team:
Sameet Chavan Chief Analyst - Technical & Derivatives sameet.cha[email protected]g.com
Ruchit Jain Senior Analyst - Technical & Derivatives ruchit.jain@angelbroking.com
Rajesh Bhosale Technical Analyst rajesh.bh[email protected]roking.com
Sneha Seth Derivatives Analyst [email protected]angelbroking.com