Huge resistance at 5000 level for the nifty
Outlook currently remains down ward bias, but market craves for positive cues in the domestic / global front, which can help it move northwards
The nifty future continued to trade at a discount all throughout the week.
| Open Interest (OI) break-up as on 29th January 2010 | ||
| Open Interest (OI)* | Change** | |
| Market wide | 169.07 | 9.85 |
| Index Future | 3.37 | 0.22 |
| Stock Future | 142.55 | 4.80 |
| Index Options | 9.19 | 0.86 |
| Stock options | 13.97 | 3.98 |
| * No of shares in crores ** Change is vis-à-vis previous day Source: NSE | ||
Overall the market wide OI on Friday stood at 169.070 crore shares, thus rising by 9.85 crore shares as compared to the previous day. Major activity was witnessed in the stock futures & options segment. (See table OI breakup).
| Most active Nifty options (February 2010 series) | |
| OI | |
| Call | |
| Nifty 4800 | 2000850 |
| Nifty 5000 | 3799350 |
| Nifty 5100 | 2768500 |
| Nifty 5200 | 2933950 |
| Put | |
| Nifty 4500 | 2089750 |
| Nifty 4600 | 3031050 |
| Nifty 4700 | 3470900 |
| Nifty 4800 | 4877250 |
| Source: NSE | |
Besides all throughout the week the trend in the nifty option front was not positive as significant call writing was witnessed at 4700 to 5300 strikes simultaneously puts witnessed addition of OI with buying of 4700 to 4900 strikes. Now these indicate strong resistance at 5000 levels for the underlying.
The most active options in the February series were the 4700 to 5000 strikes. The call option on the above mentioned strikes witnessed aggressive writing, while the puts witnessed addition of OI due to fresh buying. All throughout the week the 5000 strike call witnessed 29.96-lakh-share addition in OI while the same strike put witnessed 4.51 lakh additions in OI. Put OI addition was more profound at 4700, 4800 and 4900 strikes while for the calls it was at 4900 and 5000 strike. (See most active Nifty options table).
| Top 10 Open Interest (OI) gainers in February series stock futures on 29th January 2010 | |||
| Scrip Name | OI* | Change* | % Change |
| INDIANB | 1282600 | 389400 | 44 |
| SUNTV | 151000 | 38000 | 34 |
| IVRCLINFRA | 3612000 | 908000 | 34 |
| DRREDDY | 810400 | 164800 | 26 |
| PATNI | 653900 | 122200 | 23 |
| IBREALEST | 12675000 | 2147600 | 20 |
| BANKBARODA | 2002700 | 320600 | 19 |
| COLPAL | 275550 | 43450 | 19 |
| OPTOCIRCUI | 1583040 | 246840 | 18 |
| LUPIN | 519750 | 80500 | 18 |
| * No of shares Source: NSE | |||
Top 10 Open Interest (OI) losers in February series stock futures on 29th January 2010
| Scrip Name | OI* | Change* | % Change |
| PIRHEALTH | 757500 | -243000 | -24 |
| DABUR | 561600 | -132300 | -19 |
| ASIANPAINT | 21200 | -3600 | -15 |
| FEDERALBNK | 476560 | -70633 | -13 |
| CROMPGREAV | 409000 | -60000 | -13 |
| MPHASIS | 2842400 | -182400 | -6 |
| MRPL | 4899450 | -267000 | -5 |
| INDHOTEL | 4268952 | -208890 | -5 |
| NAGARFERT | 17477250 | -740250 | -4 |
| HDFCBANK | 1539800 | -61200 | -4 |
| * No of shares Source: NSE | |||
The market may seem oversold at this level although any upward trigger will depend onthe global market due to lack of domestic trigger. 5000 levels for the nifty will remain a key resistance. The outlook currently remains down ward bias, however any positive indicators for the market domestically or internationally may witness significant upward correction.
Source : Capitalmarket.com
Bought to you by
Ingenious Investor
Equity Research Division
Ravina Consulting
No.429 Mahavir Tuscan
Near Hoodi Circle, Whitefield
Mahadevapura Post
BANGALORE 560048
For Stock Advise + Ideas
sowmya@ravinaconsulting.com
Talk / SMS 08105737966
Read - www.ingeniousinvestor.blogspot.com
Follow us - www.twitter.com/smartinvestor
No comments:
Post a Comment