Swastika Investmart Limited: Daily Derivative Technical Report 15 April

Market Internals

After 36 trading sessions of buying FII’s has come with net sell figure of 362cr yet the gross sell numbers were not jumped up while gross buy number has come down ahead of huge weekend.
While DII’s were net buyer with amount of 365cr in cash market.
FII’s were net seller in index future by amount of 305cr mostly profit booking in Bank nifty.
On option front the range for nifty is 6700-6900; hence on immediate basis 6700 will act as a decent support.
VIX/PCR ratio is above 25 which is the one reason of worry.
The first half of the market will depend on Infosys results while second half is likely to lead by bank nifty.
Global markets are showing a decent recovery after a free fall in last few trading session.
Rupee is weakening from 60mark while dollar index placed at 79.78 mark.

Derivative Activity:

Nifty closed at 6776 mark while Nifty April future closed at 6803 mark with premium of 27 points.
Nifty (May) Contract closed at 6854 level with premium of 78 points.
The cost of carry for April month contract placed at 14.54%, where nifty April future sheds 2.34% in open interest while total OI is positioned at 18485050.
At the money option implied volatility placed at 12.33% vs. 12.67%.

CALL OPTION HIGHLIGHTS:

On call option front highest open interest has shifted to 6900 mark which will act as a resistance in upside.
Aggressive writing was taken place at 7000 mark which accumulated 3.6lacs amount in open interest.

PUT OPTION HIGHLIGHTS:

On put option front highest open interest has shifted to 6700 mark which will act as immediate support for nifty.
Some short covering was seen at 6800-6900 mark which shed 5lacs amount in open interest.
IndiaVix jumped by 1.6% which closed at 29.18 level.
PCR OI placed at 1.10 vs. 1.12 mark while PCR volume stands at 1.06 mark.
VIX/PCR ratio stands at 26.52 level which is a sign of cautiousness.

Swastika Investmart Limited