Technical & Derivatives Report
December 24, 2018
Sensex (35742) / Nifty (10754)
Exhibit 1: Nifty Daily Chart
Since the election outcome, our markets were on a roll and have
been outperforming the global peers. In this period, DOW
JONES corrected nearly
1700 points and we completely
shrugged off this cues by marching gradually towards the 11000
mark. However, as we all know, markets are full of surprises and
this is what we witnessed on the last day of the week. Without
anyone knowing, our markets had a nosedive throughout the day
to snap more than 200 points to conclude the week on a weak
note.
Technically speaking, the structure remains bullish as long as
Nifty remains above 10740 - 10700 on a closing basis. However
the velocity at which our markets corrected on Friday, it looks
quite intimidating. Hence, it would be important to see how index
behaves in first half of the week around this mentioned support
zone. On the upside, if it has to regain strength, index needs to
surpass and stay beyond the 10900 mark. Considering the
higher volatility, traders are advised to remain light on positions
and should focus on individual stocks. The banking index which
has been the charioteer in the recent run, corrected substantially
to close around its key levels. Hence, banking basket is likely to
play a vital role in this week. Also, we saw midcap index
surpassing its recent swing high, has seen some profit booking on
Friday.
A prudent strategy in such kind of scenario is to follow strict stop
losses for existing positions and better to avoid taking undue risks
till the time volatility subsides.
Key Levels
Support 1 - 10740
Resistance 1 -
10820
Support 2 - 10700
Resistance 2 -
10900
Nifty Bank Outlook - (26870)
Exhibit 2: Nifty Bank Daily Chart
During last week, the Nifty Bank paid no heed to the negative
U.S. market sentiments and it rallied during the week to cross the
27300 mark. However, on the concluding day of the week,
nervousness was seen amongst the market participants which
wiped out all the gains formed during the previous four sessions.
The above-mentioned action during the week has led to the
formation of a 'Gravestone Doji' candlestick on the weekly chart
of the Nifty Bank index. A ‘Gravestone Doji’ pattern is a popular
reversal pattern which suggests that bulls had control over the
market earlier, but the bears eventually took control at the end. A
follow-up move (either side) in the coming week could now
dictate the near-term trend, and hence, traders are advised to
stay light on positions. The near-term support on the index is
placed at the recent gap range of 26724-26673, which also co-
inside with the '20 DEMA'. On the flipside, the resistance is seen
in the range of 27085-27165.
Key Levels
Support 1 - 26724
Resistance 1 -
27085
Support 2 - 26673
Resistance 2 -
27165
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Technical & Derivatives Report
December 24, 2018
Comments
Nifty Vs OI
The Nifty futures open interest has increased by 4.35%.
Bank Nifty futures open interest has decreased by 2.27%
as market closed at 10754 levels.
The Nifty December future closed with a premium of
13.50 points against a premium of 26.50 points in last
trading session. The January series closed at a premium
of 57.95 points.
The INDIA VIX has increased from 14. 33 to 15.99.
At the same time, the PCR-OI of Nifty has decreased
from 1.66 to 1.28.
Few of the liquid counters where we have seen high cost
of carry are SUZLON, RELCAPITAL, JPASSOCIAT, ALBK
and VOLTAS.
Views
FIIs were net buyers in cash market segment to the tune
OI Gainers
of Rs. 134 crores. In index futures segment, they sold of
OI
PRICE
Rs. 316 crores with rise in open interest, indicating fresh
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
short formation on Friday’s trading session.
ADANIPORTS
24307500
20.89
361.10
-3.76
In options front, they bought of Rs. 1628 crores with rise
KAJARIACER
2717500
20.20
487.00
0.67
in open interest. As far as Nifty options activities are
UJJIVAN
5140800
18.13
276.05
-0.18
considered, we saw massive build-up in 10800-11000
MRPL
6315500
13.50
74.70
-3.98
call options. Meanwhile, put writer of 10800-10900
CESC
1758900
11.35
689.35
-4.47
strikes ran for shelter seeing Friday’s sharp fall. Now,
JUSTDIAL
2846200
11.03
482.60
-2.44
Maximum open interest for December series now stands
PCJEWELLER
9392500
9.53
82.45
-2.42
at 11000 call and 10000 put options.
TORNTPOWER
2178000
9.34
256.50
-3.37
On Monday, we began the session with an upside gap
and tad above the resistance
10840. This resulted
extension of rally towards 11000 mark but strong profit
OI Losers
booking around these levels brought index lower to
OI
PRICE
conclude the week with the loss of around half a percent.
SCRIP
OI
PRICE
CHG. (%)
CHG. (%)
During the week, except for some long unwinding on
TVSMOTOR
6396000
-18.23
572.90
-1.30
Friday, we saw majority of long formations in both Nifty
IOC
73780000
-10.94
139.75
-0.32
as well as BankNifty last week. Due to Friday’s sell-off,
OIL
9211290
-9.21
177.10
-1.12
we saw decent unwinding in Nifty puts along with
IBULHSGFIN
19208000
-9.16
816.85
-3.61
massive writing in 10800-11000 call options. Hence,
DHFL
21790500
-9.01
240.65
0.73
looking at recent development we would advise traders
VOLTAS
6552000
-8.94
569.95
-1.18
to wait and watch as index is now trading near the
CAPF
5415000
-8.72
593.05
-1.81
support zone of 10700-10750.
BANKINDIA
26292000
-8.71
97.90
0.51
Historical Volatility
Put-Call Ratio
SCRIP
HV
SCRIP
PCR-OI
PCR-VOL
SRF
38.83
NIFTY
1.28
0.85
CESC
37.68
BANKNIFTY
0.86
1.00
TATACOMM
41.94
RELIANCE
0.45
0.71
CGPOWER
63.40
ICICIBANK
0.52
0.60
GODFRYPHLP
47.25
INFY
0.56
0.52
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Technical & Derivatives Report
December 24, 2018
FII Statistics for December 21, 2018
Turnover on December 21, 2018
Open Interest
No. of
Turnover
Change
Detail
Buy
Sell
Net
Instrument
Value
Change
Contracts
( in Cr. )
(%)
Contracts
(in Cr.)
(%)
INDEX
INDEX
4383.71
4699.42
(315.71)
406184
31136.55
1.79
427008
29828.21
49.64
FUTURES
FUTURES
INDEX
INDEX
104304.75
102676.58
1628.16
895366
66510.50
1.64
12093312
781910.55
-53.53
OPTIONS
OPTIONS
STOCK
27508.32
28712.67
(1204.35)
1460103
86455.60
(0.31)
STOCK
FUTURES
1500651
86996.06
30.28
FUTURES
STOCK
STOCK
9479.93
9601.02
(121.09)
165443
9261.88
0.76
1000050
59643.60
12.53
OPTIONS
OPTIONS
Total
145676.70
145689.68
(12.98)
2927096
193364.54
0.63
TOTAL
74455
700968
-47.41
Nifty Spot = 10754
Bull-Call Spreads
Bear-Put Spreads
Action
Strike
Price
Risk
Reward
BEP
Action
Strike
Price
Risk
Reward
BEP
Buy
10800
61.15
Buy
10800
92.65
33.15
66.85
10833.15
39.85
60.15
10760.15
Sell
10900
28.00
Sell
10700
52.80
Buy
10800
61.15
Buy
10800
92.65
49.25
150.75
10849.25
63.35
-263.35
10736.65
Sell
11000
11.90
Sell
11000
29.30
Buy
10900
28.00
Buy
10700
52.80
16.10
83.90
10916.10
23.50
-323.50
10676.50
Sell
11000
11.90
Sell
11000
29.30
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 24, 2018
Daily Pivot Levels for Nifty Constituents
Scrips
S2
S1
PIVOT
R1
R2
ADANIPORTS
351
363
371
383
392
ASIANPAINT
1,362
1,394
1,414
1,446
1,466
AXISBANK
608
620
629
642
650
BAJAJ-AUTO
2,760
2,824
2,864
2,928
2,968
BAJFINANCE
2,491
2,541
2,583
2,633
2,674
BAJAJFINSV
6,196
6,301
6,400
6,505
6,604
BPCL
364
367
372
375
380
BHARTIARTL
296
307
316
326
335
INFRATEL
241
251
258
269
276
CIPLA
510
515
520
525
529
COALINDIA
244
247
250
254
257
DRREDDY
2,569
2,599
2,608
2,637
2,646
EICHERMOT
23,119
23,605
23,898
24,384
24,677
GAIL
340
347
350
357
361
GRASIM
804
816
825
838
847
HCLTECH
937
948
956
967
975
HDFCBANK
2,092
2,115
2,132
2,155
2,172
HDFC
1,912
1,943
1,961
1,993
2,011
HEROMOTOCO
3,290
3,326
3,347
3,383
3,405
HINDALCO
219
221
224
227
230
HINDPETRO
237
241
246
250
256
HINDUNILVR
1,783
1,809
1,826
1,851
1,868
IBULHSGFIN
782
814
840
871
897
ICICIBANK
348
355
359
366
371
IOC
137
139
141
143
145
INDUSINDBK
1,550
1,581
1,604
1,635
1,657
INFY
641
654
657
670
673
ITC
273
278
281
286
289
JSW STEEL
302
305
309
312
316
KOTAKBANK
1,215
1,226
1,234
1,245
1,254
LT
1,397
1,424
1,442
1,469
1,486
M&M
759
777
796
814
832
MARUTI
7,399
7,603
7,719
7,923
8,039
NTPC
147
148
150
151
153
ONGC
147
148
149
149
150
POWERGRID
194
196
198
199
201
RELIANCE
1,083
1,106
1,119
1,141
1,154
SBIN
288
291
294
297
299
SUNPHARMA
418
424
428
434
438
TCS
1,867
1,910
1,930
1,974
1,994
TATAMOTORS
172
174
177
180
183
TATASTEEL
511
517
525
531
538
TECHM
684
696
705
717
725
TITAN
887
907
917
937
948
ULTRACEMCO
3,901
3,971
4,025
4,095
4,150
UPL
718
744
759
785
800
VEDANTA
197
200
202
205
208
WIPRO
316
324
330
338
344
YESBANK
178
182
185
190
193
ZEEL
436
449
457
470
478
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Technical & Derivatives Report
December 24, 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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