S&P CNX -- Nifty -- extended its fall for second consecutive day. Market made slightly positive start, as Income Tax department has issued over Rs 24,792 crore refunds to more than 15 lakh taxpayers so far this fiscal (FY22). Of this personal income tax refunds worth Rs 7,458 crore has been issued in over 14.98 lakh cases. Corporate tax refunds of Rs 17,334 crore have been issued to 43,661 taxpayers. Soon market entered into negative territory with ratings agency ICRA’s statement that sequential growth slackening driven by the second wave of Covid-19 in India has emerged as a concern. ICRA also cautioned that bruised sentiment, high healthcare and fuel expenses will limit discretionary purchases in the immediate term. Further, index continued its southward journey as private report states that almost 80 per cent of all income losses during the first wave of the pandemic in 2020 were incurred by the private sector in India, while in many other countries the entire loss was on respective governments. Finally, Nifty end the session below 14950 mark.
Most of the sectoral indices ended in red except PSU Bank and Reality. The top gainers from the F&O segment were Indiabulls Housing Finance, Bosch and Cholamandalam Investment and Fin Co. On the other hand, the top losers were Jindal Steel & Power, Tata Steel and SAIL. In the index option segment, maximum OI continues to be seen in the 14950- 16500 calls and 13,600- 14,600 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility increased by 1.73% and reached 19.65. The 50 share Nifty down by 124.10 points or 0.83% to settle at 14,906.05.
Nifty May 2021 futures closed at 14938.00 (LTP) on Thursday, at a premium of 31.95 points over spot closing of 14906.05, while Nifty June 2021 futures ended at 14969.00 (LTP), at a premium of 62.95 points over spot closing. Nifty May futures saw an addition of 1,280 units, taking the total open interest (Contracts) to 1,43,947 units. The near month derivatives contract will expire on May 27, 2021 (Provisional).
From the most active contracts, Tata Steel May 2021 futures traded at a premium of 3.10 points at 1108.00 (LTP) compared with spot closing of 1104.90. The numbers of contracts traded were 35,657 (Provisional).
SBIN May 2021 futures traded at a premium of 1.50 points at 388.30 (LTP) compared with spot closing of 386.80. The numbers of contracts traded were 29,844 (Provisional).
Adani Ports May 2021 futures traded at a premium of 2.70 points at 767.20 (LTP) compared with spot closing of 764.50. The numbers of contracts traded were 26,447 (Provisional).
Reliance Industries May 2021 futures traded at a premium of 5.50 points at 1987.50 (LTP) compared with spot closing of 1982.00. The numbers of contracts traded were 24,962 (Provisional).
Axis Bank May 2021 futures traded at a premium of 2.65 points at 708.65 (LTP) compared with spot closing of 706.00. The numbers of contracts traded were 19,359 (Provisional).
Among, Nifty calls, 15000 SP from the May month expiry was the most active call with an addition of 24,114 units open interests. Among Nifty puts, 14900 SP from the May month expiry was the most active put with an addition of 9,090 units open interests. The maximum OI outstanding for Calls was at 15000 SP (55,985 units) and that for Puts was at 14000 SP (66,848 units). The respective Support and Resistance levels of Nifty are: Resistance 15,022.27 -- Pivot Point 14,953.58 -- Support -- 14,837.37.
The Nifty Put Call Ratio (PCR) finally stood at (1.16) for May month contract. The top five scrips with highest PCR on Mphasis (1.96), PVR (0.96), Ashok Leyland (0.89), Bajaj Finance (0.86) and Asian Paints (0.85).
Among most active underlying, Tata Steel witnessed an addition of 2,550 units of Open Interest in the May month futures contract, Adani Ports and Special Economic Zone witnessed a contraction of 2,618 units of Open Interest in the May month futures contract, Jindal Steel & Power witnessed an addition of 1,352 units of Open Interest in the May month futures contract, SBIN witnessed an addition of 3,316 units of Open Interest in the May month futures contract and Axis Bank witnessed an addition of 1,647 units of Open Interest in the May month futures contract (Provisional).