The index has been moving between 15,632 and 15,915 levels since the last 16 sessions and requires a decisive range breakout to commence the next leg of rally. Now, it has to hold above 15,800 level to witness a bounce towards 15,915 and 16,000 levels while on the downside support exists at 15,750 and 15,600 levels.
India VIX fell 0.24 per cent from 12.62 to 12.59 level. A decline in the VIX has again provided stability to the market to commence the next move.
On the options front, maximum Put Open Interest stood at 15,500 level followed by 15,000 while maximum Call OI was seen at 16,000 level followed by 15,800. There was minor Call writing at 15,900 and then 16,300 levels, while minor Put writing was seen at 15,700 and 15,000. Options data suggests an immediate trading range between 15,700 and 16,000 levels.
Bank Nifty opened negative and moved in a range for most part of the session. It surpassed its previous day’s high levels but failed to hold above multiple hurdles at 35,800 level and closed the day on a flat note. The index formed a bullish candle on the daily scale and has been forming higher highs and lows since the last three sessions. Now, it has to hold above 35,500 level to move up towards 36,000 and 36,250 levels, while on the downside support exists at 35,350 and 35,000 levels.
Nifty futures closed positive with a gain of 0.16 per cent at 15,859 level. Among specific stocks, the trade setup looked bullish in
, Wipro, L&T, Mphasis, , Apollo Tyre, BEL, , Ambuja Cement, , Cipla, Glenmark, Lupin and but weak in Indiabulls Housing Finance, Maruti, MGL, PEL, IGL, , McDowell and HUL.
(Chandan Taparia is Technical & Derivative Analyst at MOFSL. Investors are advised to consult financial advisers before taking an investment calls based on these observations)
