India VIX fell 2.55 per cent from 13.21 to 12.87 level. Stability in volatility indicates that the bulls are holding the market to cheer the fresh momentum.
On the options front, maximum Put Open Interest was seen at 15,000 followed by 15,800 levels, while maximum Call OI was seen at 16,500 followed by 16,000 levels. Minor Call writing was seen at 16,700 and then 16,550 levels, while there was Put writing at 16,000 and then 16,200 levels. Options data suggests a broader trading range between 16,000 and 16,500 levels.
Bank Nifty opened positive and moved in a volatile manner within a range for most part of the day. Momentum was seen in select banking stocks, but profit booking decline pulled the index lower and it closed with a loss of around 200 points. The index formed a bearish candle on the daily scale and negated the higher highs of the last three sessions. Now it has to hold above 35,800 level to witness a bounce towards 36,250 and then 36,500 level, while on the downside support was seen at 35,500 and then 35,250 levels.
Nifty futures closed positive with a gain of 0.18 per cent at 16,290 level. Among specific stocks, the trade setup looked bullish in
, , ITC, SAIL, , Eicher Motor, TechM, JSW Steel, , Tata Power, HCL tech, PEL, Reliance, Voltas, Kotak Bank, Siemens, TCS and but weak in IDFC First Bank, SBIN, IndusInd Bank, HPCL, PVR, Sun TV, PNB, IGL, MRF and UPL.
(Chandan Taparia is a Technical & Derivative Analyst at MOFSL. Investors are advised to consult financial advisers before taking an investment calls based on these observations)
