progressed, the selloff augmented to close below the 15800 mark. In fact there was a follow through seen to it on the subsequent

day to test sub-15600 levels. Fortunately the global peers had a good relief move thereafter which resulted in a v-shaped recovery in

our markets in the latter half. Eventually, Nifty ended the action packed week with negligible losses.

It’s been more than a month now; the Nifty is trapped in a range of merely 500 points. This certainly is a slender range considering

the fact we are trading at much elevated levels. For the most part of June, we were confined to domestic triggers only; but as we

stepped into the July month, the global factors started to influence our markets to a great extent. Unfortunately, global peers

experiences some sell off when Nifty is about to reach the milestone of 16000 and on the other hand, some relief comes when we

are at crucial supports. This week’s price action is exactly a replica of this. After undergoing some price correction for first couple of

days, we witnessed a good relief rally to reclaim the important level of 15800 on a weekly closing basis.

see benchmark at new highs. Until then 35000 – 35500 are to be considered as intermediate hurdles. On the lower side, the cluster

of supports for Nifty is placed at 15700 – 15550 – 15450 and for BANKNIFTY, 34200 – 33900 are to be seen as make or break levels.

Any sustainable move below the lower end of this support zone would reverse the short term trend in the downward direction.

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Nifty spot closed at 15856.05 this week, against a close of 15923.40 last week. The Put-Call Ratio has decreased from 1.24 to 1.15.

The annualized Cost of Carry is negative at 1.13%. The Open Interest of Nifty Futures decreased by 2.37%.

monthly series is placed at 16000 call and 15800 put options.

It was indeed a volatile week for our market, we saw index sliding below 15600 levels and smart recovery in next two sessions led

closing above 15850 mark. In F&O space, we hardly saw fresh build-up in both the indices; the open interest reduction was seen

especially in banking index wherein OI plunged 12.59%. In F&O space, we saw decent writing in 15800 put strike; resulting highest

open interest shifting to 15800 from 15500. Considering the short covering seen in index futures segment and writing in ATM puts, it

looks market may continue to strengthen in the coming week. Hence, traders are advised trading with positive biasness and should

prefer trading individual counters.

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