Technical & Derivatives Report
December 18, 2018
Sensex (36270) / Nifty (10888)
Exhibit 1: Nifty Daily Chart
Despite US Markets having a terrible session on Friday, our
markets started the trading week on a cheerful note. This was
followed by some consolidation; but once again good buying
emerged in the penultimate hour to extend this lead to conclude
the session tad below the 10900 with decent gains of nearly eight
tenths of a percent. As far as index constituents are concerned,
only handful of stocks remained slightly under pressure during
the day.
Since last Tuesday, our markets seemed to be in a ‘Santa Rally’
mode. We completely shrugged off extremely weak session in US
markets on Friday and went on to open with a decent upside gap
well above the recent hurdle of 10840. In technical terms, when a
major resistance is broken with a gap is known as a ‘Breakaway
Gap’ and is considered as extremely bullish signal. Going by the
gap theory, a new leg of the rally in upward direction should
unfold now and yesterday’s gap (10844 to 10815) would now be
seen as a strong support zone. On the upside, the immediate
hurdle is around 10940 and as mentioned in the previous report,
we expect this to get surpassed and Nifty then march towards the
11000 mark and above. Hence, one should keep trading with a
positive bias as long as Nifty remains above the crucial swing low
of 10749.
The banking index has proved its worth yesterday and is now on
the verge of a breakout from the recent swing high. Apart from
this, midcap universe remains to be the promising one and is
now on the cusp of a breakout to trigger the ‘Santa Rally’ in mid
and small cap pockets.
Key Levels
Support 1 - 10815
Resistance 1 -
10940
Support 2 - 10749
Resistance 2 -
11000
Nifty Bank Outlook - (27016)
Exhibit 2: Nifty Bank Daily Chart
Post consolidating in a narrow range for couple of sessions, the
Nifty Bank index resumed its positive momentum in yesterday's
session and ended the day with gains of over seven-tenths of a
percent.
Yesterday's up move in the index just indicates a continuation of
the positive momentum that we had seen during last week. Some
of the index heavyweights such as HDFC Bank, ICICI Bank,
Indusind Bank are indicating signs of strength. This could lead to
further up move in the index in the near term. Hence, traders are
advised to trade with the momentum and focus on stock showing
outperformance within the sector. The intraday supports for the
index are placed around 26900 and 26800 whereas resistances
are seen around 27230 and 27420.
Key Levels
Support 1 - 26900
Resistance 1 -
27230
Support 2 - 26800
Resistance 2 -
27420
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Technical & Derivatives Report
December 18, 2018
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 0.65%.
Bank Nifty futures open interest has increased by 4.56%
as market closed at 10888.35 levels.
The Nifty December future closed with a premium of
22.15 points against a premium of 14.85 points in last
trading session. The January series closed at a premium
of 69.70 points.
The INDIA VIX has decreased from 15.16 to 14.54.
At the same time, the PCR-OI of Nifty has increased from
1.53 to 1.61.
Few of the liquid counters where we have seen high cost
of carry are SUZLON, NHPC, IFCI, JPASSOCIAT and
SOUTHBANK.
Views
FIIs activity in cash market segment remained muted. In
OI Gainers
index futures segment, they sold of Rs. 319 crores with
OI
PRICE
some rise in open interest, indicating fresh short
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
formation in yesterday’s trading session.
BEML
1773000
37.36
846.40
7.86
In options front, they bought marginally with rise in open
CUMMINSIND
1930600
12.57
831.75
3.08
interest. As far as Nifty options activities are considered,
VOLTAS
7659000
10.55
567.65
-0.89
we saw decent unwinding in 10900-11000 call option
BPCL
14527800
8.66
350.35
2.45
along with some fresh OI addition in 11100 strike. On
CESC
1215500
8.17
697.20
-0.16
the flip side, we saw good amount of build-up in 10800
ARVIND
6626000
8.16
98.95
-1.10
and 10900 put options. Now, Maximum open interest
CASTROLIND
6907800
7.65
146.10
-2.00
for December series now stands at 11000 call and
SOUTHBANK
130376694
7.46
15.50
0.32
10000 put options.
The benchmark index started-off the week on a very
strong note; above the immediate hurdle of 10840. Post
OI Losers
some range bound move, momentum picked up in the
OI
PRICE
latter half to bring index near 10900 mark. In F&O
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
segment, we saw addition of some fresh long positions in
NTPC
66220000
-9.66
146.10
1.60
Nifty as well as BankNifty. In Nifty options front, we
HINDZINC
5366400
-7.91
273.35
1.67
continued seeing fresh writing in index ATM puts along
COALINDIA
39886000
-7.52
251.45
1.27
with unwinding in OTM call options. The volatility index
JETAIRWAYS
6133200
-6.72
249.95
-9.52
also plunged to 13-weeks low (14.54%), which is a good
VGUARD
3246000
-6.16
214.45
-1.20
indication for Bulls. Considering the overall F&O data,
IOC
86796500
-5.56
142.90
0.67
we expect continuation of this rally towards
OIL
12508320
-5.35
177.80
0.76
11000-11100; hence, traders are advised trading with a
INDIANB
3978000
-4.65
237.25
-0.79
positive bias going ahead.
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
BEML
64.09
NIFTY
1.61
1.09
POWERGRID
30.90
BANKNIFTY
1.38
1.02
PETRONET
33.23
RELIANCE
0.61
0.62
MGL
28.09
ICICIBANK
0.62
0.59
IGL
34.61
INFY
1.01
0.64
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Technical & Derivatives Report
December 18, 2018
FII Statistics for December 17, 2018
Turnover on December 17, 2018
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
1758.82
2078.01
(319.19)
362406
28116.06
2.56
195340
13307.87
-7.46
FUTURES
FUTURES
INDEX
INDEX
55742.80
55721.69
21.10
877551
65520.24
1.73
7059581
432535.32
13.59
OPTIONS
OPTIONS
STOCK
10239.52
10233.49
6.03
1475590
86347.69
(0.26)
STOCK
FUTURES
682750
39331.62
-13.15
FUTURES
STOCK
STOCK
6195.49
6149.86
45.63
156546
8816.04
2.16
666980
39584.84
-1.38
OPTIONS
OPTIONS
Total
73936.62
74183.06
(246.44)
2872093
188800.04
0.82
TOTAL
74455
700968
9.19
Nifty Spot = 10888.35
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
10900
98.50
Buy
10900
87.60
45.75
54.25
10945.75
33.30
66.70
10866.70
Sell
11000
52.75
Sell
10800
54.30
Buy
10900
98.50
Buy
10900
87.60
73.80
126.20
10973.80
53.15
146.85
10846.85
Sell
11100
24.70
Sell
10700
34.45
Buy
11000
52.75
Buy
10800
54.30
28.05
71.95
11028.05
19.85
80.15
10780.15
Sell
11100
24.70
Sell
10700
34.45
Note: Above mentioned Bullish or Bearish Spreads in Nifty (December Series) are given as an information and not as a recommendation.
Nifty Put-Call Analysis
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Technical & Derivatives Report
December 18, 2018
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ADANIPORTS
364
368
373
376
381
ASIANPAINT
1,322
1,329
1,337
1,344
1,352
AXISBANK
611
614
619
622
628
BAJAJ-AUTO
2,813
2,827
2,840
2,854
2,867
BAJFINANCE
2,440
2,457
2,484
2,501
2,527
BAJAJFINSV
5,963
6,026
6,112
6,175
6,261
BPCL
337
344
348
354
358
BHARTIARTL
307
311
317
321
327
INFRATEL
247
251
253
257
260
CIPLA
516
520
525
528
533
COALINDIA
243
247
250
255
258
DRREDDY
2,581
2,597
2,616
2,632
2,651
EICHERMOT
23,332
23,515
23,733
23,916
24,134
GAIL
348
351
353
356
358
GRASIM
833
840
849
855
864
HCLTECH
946
959
967
979
987
HDFCBANK
2,087
2,109
2,121
2,142
2,154
HDFC
1,896
1,928
1,946
1,978
1,996
HEROMOTOCO
3,236
3,261
3,290
3,316
3,345
HINDALCO
220
223
224
227
229
HINDPETRO
223
226
228
230
232
HINDUNILVR
1,831
1,841
1,855
1,865
1,880
IBULHSGFIN
755
768
786
799
816
ICICIBANK
349
354
357
362
365
IOC
141
142
142
144
144
INDUSINDBK
1,591
1,612
1,626
1,647
1,660
INFY
681
687
700
707
719
ITC
274
277
279
282
285
JSW STEEL
292
296
298
302
305
KOTAKBANK
1,173
1,198
1,232
1,257
1,291
LT
1,380
1,394
1,409
1,423
1,439
M&M
744
750
757
763
769
MARUTI
7,578
7,656
7,728
7,806
7,878
NTPC
141
143
147
150
154
ONGC
144
146
148
150
152
POWERGRID
186
189
193
196
200
RELIANCE
1,103
1,117
1,125
1,138
1,146
SBIN
285
287
289
292
294
SUNPHARMA
417
419
422
424
428
TCS
1,975
1,985
1,995
2,004
2,015
TATAMOTORS
164
169
172
178
181
TATASTEEL
513
519
522
527
531
TECHM
707
713
718
724
729
TITAN
921
928
933
940
944
ULTRACEMCO
3,942
3,976
3,999
4,032
4,055
UPL
759
763
768
772
777
VEDANTA
199
202
208
211
217
WIPRO
331
335
339
343
346
YESBANK
177
179
182
184
187
ZEEL
474
488
498
511
521
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Technical & Derivatives Report
December 18, 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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