F&O watch: Bulls maintain an upper hand on D-St; Nifty headed for fresh life-time high
By Chandan Taparia
Nifty50 opened on a positive note and continued to hold investors' buying interest for second consecutive session.
It has been holding above its support trend line by connecting the lows of 8,713, 8,903 and 9,024. The index closed above its immediate hurdle of 9,133 and registered the highest daily close in past eight trading sessions. Now, till it holds above 9,075 zone, it has the potential to extend its upmove towards its life-time high of 9,218. On the downside, supports are seen at 9,075 and 9,020.
Bank Nifty has been hitting fresh highs over the last five trading sessions and hit a new life-time high of 21,418 by surpassing its previous high of 21,336. The index has immediate support near 21,150; while holding above 21,300 could extend its upmove towards 21,600--the new high territory.
Bank Nifty has been outperforming, the benchmark Nifty index with sustained buying. Holding the current levels could help it continue its outperformance.
Nifty futures saw rollovers of around 55% on a provisional basis a day before the expiry, in line with the last series.
Many midcap and smallcap stocks are performing well which is keeping the market sentiment cheerful.
On the options front, maximum Put OI shifted to strike 9,100 in the March series while, maximum Call OI is at strike 9,200. We have seen significant Put writing at 9,150 and 9,100 which is shifting its support to higher levels. Meanwhile, it requires Call unwinding in 9,150 and 9,200 strike prices to witness spike towards 9,218 level.
India VIX fell down by 0.27% at 12.08 and lower volatility is keeping the overall bullish undertone of the market.
The index is up by 2.29 per cent in this series and is trading 100 points higher from its VWAP which indicates that bulls have an upper hand.
(Taparia is Technical & Derivative Analyst at Motilal Oswal Securities. Investors are advised to consult financial advisers before taking an investment calls based on these observations)
Nifty50 opened on a positive note and continued to hold investors' buying interest for second consecutive session.
It has been holding above its support trend line by connecting the lows of 8,713, 8,903 and 9,024. The index closed above its immediate hurdle of 9,133 and registered the highest daily close in past eight trading sessions. Now, till it holds above 9,075 zone, it has the potential to extend its upmove towards its life-time high of 9,218. On the downside, supports are seen at 9,075 and 9,020.
Bank Nifty has been hitting fresh highs over the last five trading sessions and hit a new life-time high of 21,418 by surpassing its previous high of 21,336. The index has immediate support near 21,150; while holding above 21,300 could extend its upmove towards 21,600--the new high territory.
Bank Nifty has been outperforming, the benchmark Nifty index with sustained buying. Holding the current levels could help it continue its outperformance.
Nifty futures saw rollovers of around 55% on a provisional basis a day before the expiry, in line with the last series.
Many midcap and smallcap stocks are performing well which is keeping the market sentiment cheerful.
On the options front, maximum Put OI shifted to strike 9,100 in the March series while, maximum Call OI is at strike 9,200. We have seen significant Put writing at 9,150 and 9,100 which is shifting its support to higher levels. Meanwhile, it requires Call unwinding in 9,150 and 9,200 strike prices to witness spike towards 9,218 level.
India VIX fell down by 0.27% at 12.08 and lower volatility is keeping the overall bullish undertone of the market.
The index is up by 2.29 per cent in this series and is trading 100 points higher from its VWAP which indicates that bulls have an upper hand.
(Taparia is Technical & Derivative Analyst at Motilal Oswal Securities. Investors are advised to consult financial advisers before taking an investment calls based on these observations)
