Technical & Derivatives Report
May 16, 2018
Sensex (35544) / Nifty (10802)
Exhibit 1: Nifty Daily Chart
Yesterday, our markets were not at all bothered what’s
happening across the globe as traders were mainly focusing on
key political event, Karnataka assembly election. We had a flat
start and within few minutes, the index took a leap as BJP started
leading in early counts. In fact, as the lead started increasing, the
Nifty went on to surpass the 10900 mark within no time.
Everything looked hunky dory at one point; but as market always
surprises, we witnessed a complete nosedive after hitting a high
of
10929.20. The index remained under severe pressure
throughout the remaining part to eventually conclude the session
at 10800.
Yesterday’s price movement was a perfect example of a famous
saying in the market ‘Sell on News’. Traders looked extremely
confident above 10900; but that’s when market showed its
supremacy. So many traders now must have caught on the wrong
foot and the way it has closed, the picture does look very much
scary now. Due to an intraday volatility, the daily chart now
depicts a ‘Gravestone Doji’, which is considered as a probable
trend reversal pattern. More importantly, it has occurred exactly
at the 78.6% retracement of the recent down move. Yes, the
pattern needs a confirmation below its low; but considering the
overall set up, we will not be surprised it to happen soon. Hence,
with reference to recent articles, we were advocating booking
profit around 10900 and now going ahead, a move below
10780 would provide credence to this stance. In this scenario, the
index may immediately correct towards 10724 - 10700 levels;
whereas, on the higher side, 10840 followed by 10880 would act
as strong hurdles. Any attempt to bounce back towards these
levels can be used as an exit opportunity.
Key Levels
Support 1 - 10724
Resistance 1 - 10840
Support 2 - 10700
Resistance 2 - 10880
Nifty Bank Outlook - (26474)
Exhibit 2: Nifty Bank Daily Chart
Post a flat opening, the Nifty Bank index continued it’s up move
and rallied sharply up to 26972 in the first hour of the trade.
However, the index corrected sharply post noon and it wiped out
all the intraday gains to end the day on a flat note.
Owing to the Karnataka elections results, it was much expected
that there would be high volatility during the day. The corrective
move in the later half has led to formation of the 'Gravestone
Doji' candlestick pattern on the daily chart. It is a popular reversal
pattern and formation of the same after an up move in the recent
past in Nifty Bank index indicates high probability of a correction
going ahead. A breach below yesterday's low of 26407.30 will
provide a confirmation and hence, traders should be cautious on
the index in near term.
Key Levels
Support 1 - 26240
Resistance 1 - 26675
Support 2 - 26127
Resistance 2 - 26780
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Technical & Derivatives Report
May 16, 2018
Comments
Nifty Vs OI
The Nifty futures open interest has decreased by 1.67%
BankNifty futures open interest has increased by 2.29%
as market closed at 10801.85 levels.
The Nifty May future closed with a premium of 16.75
points against a premium of 8.10 points in last trading
session. The June series closed at a premium of 22.40
points.
The INDIA VIX has decreased from 14.24 to 13.16. At
the same time, the PCR-OI of Nifty has decreased from
1.64 to 1.60 level.
Few of the liquid counters where we have seen high cost
of carry are RCOM, DISHTV, JUSTDIAL, SRF and
CHENNPETRO.
Views
OI Gainers
FIIs were net sellers in cash market segment to the tune
OI
PRICE
SCRIP
OI
PRICE
of Rs. 518 crores. While, they bought worth Rs. 660
CHG. (%)
CHG. (%)
PCJEWELLER
10006500
12.82
169.80
-4.71
crores in index futures with decent rise in open interest,
ACC
2473600
12.70
1403.60
-2.62
suggesting fresh long formation in yesterday's trading
session.
ALBK
17532000
12.31
40.40
-8.70
In index options front, they were net buyers of Rs. 2867
PIDILITIND
1666000
11.29
1095.20
-0.59
crores with rise in OI. In call options, we saw fresh built-
BHARATFIN
5683500
8.57
1170.45
0.14
up in 11000 and 11200 strikes; followed by unwinding
NCC
38336000
8.49
109.50
-8.25
in 10700 and 11050 call options. On the flip side,
MANAPPURAM
18570000
8.41
114.85
-4.09
10800-10900 put strikes added fresh positions along
CIPLA
11082000
8.12
573.80
-0.73
with unwinding in 10200-10700 strikes. Maximum open
interest concentration remains intact in 11000 call and
OI Losers
10500 put options.
The benchmark index rallied above 10900 mark but
OI
PRICE
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
failed to hold on the momentum to conclude the session
PAGEIND
47850
-10.23
23309.40
-3.29
with marginal loss. As anticipated, we hardly saw index
UJJIVAN
6542400
-8.87
396.45
-1.22
giving any massive move on closing basis which in turn
SIEMENS
1510500
-8.48
1055.10
3.11
resulted profits to those traders who preferred short
NIITTECH
2498250
-6.85
1060.70
-1.12
straddle strategy. At present, looking at the unwinding in
SHREECEM
73550
-6.60
16439.65
1.32
put options we expect some profit booking in coming
COLPAL
1489600
-6.34
1146.30
3.13
sessions; thus, traders are advised to exit from their
KAJARIACER
1756800
-6.23
543.95
-0.05
existing index longs.
ICICIPRULI
6067100
-5.98
445.60
0.30
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
COLPAL
23.32
NIFTY
1.60
1.08
ALBK
60.65
BANKNIFTY
1.03
1.09
NCC
60.08
TATAMOTORS
0.44
0.56
TATAMTRDVR
41.80
ICICIBANK
1.38
1.16
TATACHEM
29.45
RELIANCE
0.46
0.53
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Technical & Derivatives Report
May 16, 2018
FII Statistics for May 15, 2018
Turnover on May 15, 2018
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
2974.49
2314.33
660.16
222170
18996.75
5.85
324209
29693.95
131.45
FUTURES
FUTURES
INDEX
INDEX
159154.82
156287.75
2867.07
892107
74928.40
4.15
10233490
996801.91
220.54
OPTIONS
OPTIONS
STOCK
11399.60
11544.91
(145.32)
1223136
84802.44
1.05
STOCK
FUTURES
892801
57779.73
33.02
FUTURES
STOCK
STOCK
8264.53
8130.15
134.38
128527
8935.04
2.39
694714
47213.09
27.08
OPTIONS
OPTIONS
Total
181793.43
178277.13
3516.30
2465940
187662.63
2.65
TOTAL
12145214
1131488.68
179.80
Nifty Spot = 10801.85
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
10800
111.75
Buy
10800
94.55
49.30
50.70
10849.30
31.65
68.35
10768.35
Sell
10900
62.45
Sell
10700
62.90
Buy
10800
111.75
Buy
10800
94.55
82.25
117.75
10882.25
52.75
147.25
10747.25
Sell
11000
29.50
Sell
10600
41.80
Buy
10900
62.45
Buy
10700
62.90
32.95
67.05
10932.95
21.10
78.90
10678.90
Sell
11000
29.50
Sell
10600
41.80
Note: Above mentioned Bullish or Bearish Spreads in Nifty (May Series) are given as an information and not as a recommendation.
Nifty Put-Call Analysis
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Technical & Derivatives Report
May 16, 2018
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ADANIPORTS
392
400
406
415
421
ASIANPAINT
1,274
1,294
1,309
1,329
1,344
AXISBANK
537
544
554
560
570
BAJAJ-AUTO
2,767
2,795
2,836
2,865
2,905
BAJFINANCE
1,818
1,860
1,897
1,939
1,976
BAJAJFINSV
5,265
5,331
5,385
5,451
5,505
BPCL
393
399
406
413
420
BHARTIARTL
373
377
383
387
393
INFRATEL
309
310
313
315
318
CIPLA
561
568
581
588
601
COALINDIA
257
260
266
269
275
DRREDDY
1,954
1,981
2,006
2,033
2,057
EICHERMOT
29,844
30,309
30,654
31,119
31,464
GAIL
328
334
342
348
357
GRASIM
1,072
1,081
1,092
1,101
1,113
HCLTECH
902
913
923
935
944
HDFCBANK
2,005
2,021
2,043
2,060
2,081
HDFC
1,914
1,922
1,932
1,940
1,950
HEROMOTOCO
3,618
3,634
3,647
3,662
3,675
HINDALCO
235
240
244
248
253
HINDPETRO
307
315
323
331
338
HINDUNILVR
1,491
1,503
1,523
1,535
1,555
IBULHSGFIN
1,167
1,184
1,206
1,223
1,246
ICICIBANK
298
303
310
315
323
IOC
163
165
168
170
172
INDUSINDBK
1,878
1,898
1,925
1,944
1,971
INFY
1,177
1,186
1,197
1,206
1,217
ITC
278
280
283
285
288
KOTAKBANK
1,237
1,261
1,283
1,306
1,328
LT
1,348
1,361
1,382
1,395
1,416
LUPIN
700
725
749
775
799
M&M
822
834
850
862
878
MARUTI
8,594
8,660
8,705
8,772
8,817
NTPC
166
168
171
173
176
ONGC
181
185
188
193
196
POWERGRID
205
210
213
217
220
RELIANCE
962
970
985
994
1,009
SBIN
239
243
250
255
262
SUNPHARMA
448
458
469
479
490
TCS
3,409
3,445
3,471
3,508
3,533
TATAMOTORS
295
303
313
321
332
TATASTEEL
591
609
623
640
654
TECHM
655
663
671
679
688
TITAN
893
912
928
947
963
ULTRACEMCO
4,046
4,078
4,109
4,140
4,171
UPL
711
722
731
742
751
VEDANTA
274
278
282
285
289
WIPRO
265
268
271
274
277
YESBANK
337
341
348
352
359
ZEEL
558
565
574
581
590
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Technical & Derivatives Report
May 16, 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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