Technically, the index formed a bullish candle on the daily scale with long lower shadow, indicating every decline got bought into. Now, it has to hold above 14,700 level to witness a bounce towards 14,880 and 15,000 levels, while support on the downside exists at 14,600 and 14,500 levels.
India VIX moved up marginally by 0.34% from 21.96 to 22.03 level. It needs to hold below 20 zone to again attract bullish stance.
On the options front, maximum Put Open Interest was seen at 14,000 level followed by 13,500 while maximum Call OI stood at 15,000 level followed by 15,500. There was marginal Call writing at strike price 14,800 while minor Put writing was seen at 14,200 and then 14,300 level. Options data suggested a wider trading range between 14,200 and 15,000 levels while the immediate trading range was seen at 14,500 and 15,000 levels.
Bank Nifty opened with a gap up, but witnessed a rangebound move from the opening level. It has been facing resistance near its 50 DEMA sine last five sessions. It closed positive with around 100 points gain and formed a Doji candle on the daily scale with a long lower shadow. Now, it has to hold above 32,750 level to witness a bounce towards 33,333 and 33,500 levels, while on the downside support exists at 32,500 and 32,250 levels.
Nifty futures closed positive at 14,694 level with 0.69% gain. Among specific stocks, the trade setup looked bullish in
, MFSL, , Marico, GAIL, Wipro, Chola Finance, Mindtree, , TVS Motor, BEL, SAIL, Bajaj Auto, BPCL, Grasim, NMDC and Maruti but weak in , SUN TV and L&T Finance.
(Chandan Taparia is Technical & Derivative Analyst at MOFSL. Investors are advised to consult financial advisers before taking an investment calls based on these observations)
