Technical & Derivatives Report
July 24, 2017
Sensex (32029) / Nifty (9915)
Exhibit 1: Nifty Daily Chart
During last week, the Nifty index traded in a narrow range
and ended the week with minor gains of 0.29 percent over its
previous week’s close.
Although the Nifty index is trading at its all-time high, the
recent upmove in the index has not been supported by broad
market participation. On the monthly chart, it is seen that the
ongoing upmove in the Nifty index from the low of 7894 in
Dec 2016 has symmetries with the previous leg of upmove in
Nifty, wherein the index rallied from 6825.80 (Feb. 2016) to
8968.70 (Dec. 2016). This previous upmove had seen rally of
2143 points charted in eight monthly candles. A
100%
extension of the previous upmove measured from the low of
7893.80 indicates that the index is unlikely to rally significant
from current levels. Also, if we extend a rising trendline joining
the monthly highs of Jan. 2008 and Mar. 2015, the trendline
resistance also coincides with the mentioned extension.
Hence, we still believe that the indices are in the last leg of
the upmove and we are likely to see a short-term top getting
formed hereon. In near term, the Nifty index has stiff
resistance at 9930. Even if the index crosses this mentioned
resistance, we would see limited upside upto 10050 and
hence, traders should exit from long positions and stay light.
Key Levels
Support 1 - 9860
Resistance 1 - 9930
Support 2 - 9810
Resistance 2 - 9970
Nifty Bank Outlook - (24257)
Exhibit 2: Nifty Bank Daily Chart
Amidst a volatile trading session in the Nifty Bank index on
Friday, the last hour recovery led to the index ending the
session with minor gains of 0.18 percent.
As mentioned in our previous reports, the ongoing upmove in
the index has been led by a stock specific participation rather
than a broad based momentum. Hence, traders should focus
on stock specific moves and avoid creating aggressive longs.
Positional traders are also advised to book profits in their long
positions and take some money off the table in this leg of
upmove. The intraday supports for the Nifty Bank index are
placed around 24050 and 23900 whereas resistance is seen
in the range of 24400-24500.
Key Levels
Support 1 - 24050
Resistance 1 - 24400
Support 2 - 24500
Resistance 2 - 24500
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Technical & Derivatives Report
July 24, 2017
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 1.80%
BankNifty futures open interest has decreased by 1.28%
as market closed at 9915.25 levels.
The Nifty July future closed with a discount of 4.70 points
against the premium of 14.73 points in last trading
session. The August series closed at a premium of 31.55
points.
The Implied Volatility of at the money options has
decreased from 9.35 to 8.14. At the same time, the PCR-
OI of Nifty has increased from 1.36 levels to 1.41.
Few of the liquid counters where we have seen high cost
of carry are SUZLON, UJJIVAN, KSCL, RCOM and
INFIBEAM.
Views
On Friday, FIIs activity in cash market segment remained
OI Gainers
subdued. While, in index futures they were net buyers of
OI
PRICE
Rs.
216 crores with decent rise in open interest,
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
indicating some long formation took place in previous
ASIANPAINT
3180600
25.62
1153.70
-0.13
trading session.
HDIL
38872000
19.21
86.60
-2.48
In index options front, they were net sellers of Rs. 3296
GRASIM
2658000
17.16
1063.50
-1.20
crores with fall in open interest. In call option, we hardly
MANAPPURAM
23046000
15.83
105.15
2.99
saw any relevant open interest addition; however, some
ARVIND
6194000
13.99
367.95
-2.81
unwinding was seen in 9700-10100 call options. On the
RELIANCE
15949000
12.48
1587.55
3.46
flip side, in put option; 9900 strike added some fresh
JUSTDIAL
5676000
12.38
383.40
0.66
positions, followed by some unwinding in 9700 strike. At
ICICIPRULI
2389400
12.07
465.75
0.71
present, maximum concentration of open interest
remains intact in 10000 call and 9800 put options.
OI Losers
Last week, the benchmark index traded in a narrow
OI
PRICE
range but we witnessed more than 8% of reduction in
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
open interest. However, if we look at FIIs data for last
JUBLFOOD
2499000
-16.24
1255.60
-3.61
week, they formed mixed positions in index futures along
SINTEX
26718750
-13.75
37.55
-0.92
with good amount of writing in index put options. At
CUMMINSIND
441600
-13.62
997.50
3.54
current juncture, we are hardly seeing any buying interest
DLF
43235000
-11.92
196.15
-3.68
in index futures by stronger hands; however, unless we
CEATLTD
1563800
-11.03
1853.55
1.09
don’t see short covering in index puts, market may not
UPL
4698000
-9.90
862.90
0.59
correct significantly. Thus, 9800 remains an immediate
JPASSOCIAT
186932000
-8.97
26.50
14.72
support for current series; while 10000 marks remains a
ORIENTBANK
13962000
-8.57
150.60
0.33
strong psychological hurdle for market.
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
WIPRO
39.97
NIFTY
1.41
1.06
ADANIPOWER
52.40
BANKNIFTY
0.95
1.16
DISHTV
49.62
RELIANCE
0.77
0.53
BAJAJFINSV
38.88
ITC
0.39
0.31
JPASSOCIAT
120.95
INFY
0.49
0.47
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Technical & Derivatives Report
July 24, 2017
FII Statistics for July 21, 2017
Turnover on July 21, 2017
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
1920.35
1704.85
215.49
290829
22466.03
2.16
235706
19302.86
35.15
FUTURES
FUTURES
INDEX
INDEX
49193.98
52490.29
(3296.32)
1097789
83720.31
(2.37)
5151716
417732.96
-52.52
OPTIONS
OPTIONS
STOCK
11686.90
10654.10
1032.81
883673
61636.25
(1.63)
STOCK
FUTURES
966051
70258.22
28.09
FUTURES
STOCK
STOCK
10925.89
10975.86
(49.97)
120415
8828.30
5.37
875122
66289.43
58.85
OPTIONS
OPTIONS
Total
73727.12
75825.10
(2097.99)
2392706
176650.88
(1.20)
TOTAL
7228595
573583.47
-42.11
Nifty Spot = 9915.25
Lot Size = 75
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
9900
49.75
Buy
9900
38.65
34.30
65.70
9934.30
24.90
75.10
9875.10
Sell
10000
15.45
Sell
9800
13.75
Buy
9900
49.75
Buy
9900
38.65
46.35
153.65
9946.35
32.80
167.20
9867.20
Sell
10100
3.40
Sell
9700
5.85
Buy
10000
15.45
Buy
9800
13.75
12.05
87.95
10012.05
7.90
92.10
9792.10
Sell
10100
3.40
Sell
9700
5.85
Note: Above mentioned Bullish or Bearish Spreads in Nifty (June Series) are given as an information and not as a recommendation.
Nifty Put-Call Analysis
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Technical & Derivatives Report
July 24, 2017
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ACC
1,680
1,694
1,710
1,724
1,739
ADANIPORTS
377
379
381
384
385
AMBUJACEM
257
261
265
270
273
ASIANPAINT
1,134
1,145
1,159
1,170
1,183
AUROPHARMA
723
736
746
758
769
AXISBANK
528
535
538
545
549
BAJAJ-AUTO
2,787
2,801
2,821
2,836
2,855
BANKBARODA
159
160
162
164
165
BPCL
458
463
466
470
473
BHARTIARTL
396
404
410
418
425
INFRATEL
397
404
408
414
418
BOSCHLTD
23,668
23,820
23,979
24,130
24,290
CIPLA
556
561
565
571
575
COALINDIA
251
257
260
266
269
DRREDDY
2,704
2,733
2,757
2,786
2,810
EICHERMOT
28,376
28,640
29,016
29,280
29,656
GAIL
370
373
379
382
388
HCLTECH
875
890
899
914
923
HDFCBANK
1,691
1,697
1,706
1,712
1,721
HDFC
1,606
1,624
1,640
1,657
1,673
HEROMOTOCO
3,633
3,658
3,699
3,724
3,765
HINDALCO
205
210
213
217
220
HINDUNILVR
1,137
1,148
1,156
1,167
1,175
IBULHSGFIN
1,100
1,119
1,139
1,158
1,179
ICICIBANK
293
298
301
305
308
IOC
370
376
379
384
388
INDUSINDBK
1,544
1,556
1,562
1,573
1,580
INFY
967
973
978
985
989
ITC
284
286
289
292
294
KOTAKBANK
959
979
991
1,011
1,023
LT
1,160
1,170
1,180
1,189
1,200
LUPIN
1,118
1,130
1,144
1,156
1,170
M&M
1,351
1,369
1,383
1,401
1,416
MARUTI
7,408
7,475
7,513
7,580
7,618
NTPC
160
162
164
167
169
ONGC
162
163
165
166
168
POWERGRID
210
213
216
219
222
RELIANCE
1,527
1,556
1,574
1,603
1,621
SBIN
286
289
290
292
294
SUNPHARMA
568
572
579
583
591
TCS
2,410
2,451
2,475
2,516
2,541
TATAMTRDVR
270
272
274
276
278
TATAMOTORS
454
460
463
468
471
TATAPOWER
82
83
83
84
84
TATASTEEL
537
545
552
560
566
TECHM
390
392
395
398
400
ULTRACEMCO
4,120
4,148
4,168
4,197
4,217
VEDANTA
257
263
267
273
277
WIPRO
275
281
286
291
296
YESBANK
1,558
1,568
1,575
1,584
1,591
ZEEL
532
544
551
563
570
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Technical & Derivatives Report
July 24, 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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