S&P CNX -- Nifty -- continued its upward journey for fourth consecutive session and ended the day’s trade with the gains of above half a percent. Market made cautious start, as India's new infections on Wednesday again soared to 208,886. Deaths from the disease rose by 4,172. Soon, market added gains, as traders took support with Industry chamber -- Confederation of Indian Industry (CII) stating that healthy flow of foreign direct investments (FDI) into the country corroborates India’s status as a preferred investment destination among global investors. FDI into the country grew 19 per cent to $59.64 billion during 2020-21. Further, index continued the gaining monument till the end, as private report stated that India’s economy is likely to have grown 0.6-2.1 per cent in the fourth quarter of the fiscal year 2020-21 (Q4FY21), better than the government's prediction of a contraction. However, for the entire FY21, they see gross domestic product (GDP) contracting 7-8 per cent. The growth in Q4 is led by widespread recovery in volumes and also low base effect, while the full-year contraction is mainly on account of a lockdown last year, which shut the economy for months.
Most of the sectoral indices ended in green except PSU Bank and Metal. The top gainers from the F&O segment were MGL, DLF and Bajaj Finserv. On the other hand, the top losers were Power Grid Corporation of India, Jindal Steel & Power and SAIL. In the index option segment, maximum OI continues to be seen in the 15350 -16000 calls and 14000 -15,300 puts indicating this is the trading range expectation.
India Volatility Index (VIX), a gauge for market’s short term expectation of volatility increased by 10.77% and reached 20.87. The 50 share Nifty up by 93.00 points or 0.61% to settle at 15,301.45.
Nifty May 2021 futures closed at 15302.10 (LTP) on Wednesday, at a premium of 0.65 points over spot closing of 15301.45, while Nifty June 2021 futures ended at 15337.00 (LTP), at a premium of 35.55 points over spot closing. Nifty May futures saw an addition of 225 units, taking the total open interest (Contracts) to 1,01,956 units. The near month derivatives contract will expire on May 27, 2021 (Provisional).
From the most active contracts, Reliance Industries May 2021 futures traded at a premium of 2.50 points at 1969.50 (LTP) compared with spot closing of 1967.00. The numbers of contracts traded were 35,206 (Provisional).
SBIN May 2021 futures traded at a premium of 0.90 points at 412.90 (LTP) compared with spot closing of 412.00. The numbers of contracts traded were 34,888 (Provisional).
Bajaj Finance May 2021 futures traded at a premium of 19.40 points at 5787.95 (LTP) compared with spot closing of 5768.55. The numbers of contracts traded were 23,810 (Provisional).
HDFC Bank May 2021 futures traded at a premium of 3.50 points at 1480.50 (LTP) compared with spot closing of 1477.00. The numbers of contracts traded were 22,412 (Provisional).
ICICI Bank May 2021 futures traded at a discount of 0.75 points at 653.10 (LTP) compared with spot closing of 653.85. The numbers of contracts traded were 19,628 (Provisional).
Among, Nifty calls, 15400 SP from the May month expiry was the most active call with an addition of 11,140 units open interests. Among Nifty puts, 15200 SP from the May month expiry was the most active put with an addition of 26,808 units open interests. The maximum OI outstanding for Calls was at 15500 SP (74,351 units) and that for Puts was at 15000 SP (65,639 units). The respective Support and Resistance levels of Nifty are: Resistance 15,349.25 -- Pivot Point 15,272.10 -- Support -- 15,224.30.
The Nifty Put Call Ratio (PCR) finally stood at (1.30) for May month contract. The top five scrips with highest PCR on Mphasis (3.66), Pidilite Industries (1.45), Asian Paints (1.34), UPL (1.28) and DLF (1.38).
Among most active underlying, SBIN witnessed an addition of 261 units of Open Interest in the May month futures contract, HDFC Bank witnessed a contraction of 1,343 units of Open Interest in the May month futures contract, ICICI Bank witnessed an addition of 218 units of Open Interest in the May month futures contract, Tata Steel witnessed an addition of 18 units of Open Interest in the May month futures contract and Reliance Industries witnessed an addition of 210 units of Open Interest in the May month futures contract (Provisional).