15 things to know before opening the bell

The market is still not out of the woods, although it rallied on May 10 after a steady recovery since hitting an all-time high the previous week. As long as Nifty holds 21,900, the low of the May 9 long bearish candle and which coincides with the rising support trendline, consolidation is expected to continue and the index may face resistance at 22,200-22,300 levels. But a break of 21,900 could pull it down to April month's low of 21,775, experts say.

On May 10, BSE Sensex rose 260 points to 72,665, while Nifty 50 rose 98 points to 22,055 and formed small bullish candlestick patterns with minor upper and lower shadows on the daily charts.

Technically this pattern indicates a temporary pause in the market after a sharp decline. Nagaraj Shetty, Senior Technical Research Analyst, HDFC Securities, said Nifty is at important trendline support around 21,900 and there is still no sign of any higher reversal pattern forming at lower levels.

On the weekly chart Nifty formed a long bearish candle with a slight lower shadow. Following the formation of a Long Legged Doji at new highs last week, Nifty's formation of a long bear candle during the last week indicates a negative bias.

Shetty feels that being at key trendline support, there is a possibility of a minor bounce in the short term, but the market may eventually break the current support of 21,900-21,850 levels and fall to 22,700-22,600 in the near term. , “Immediate resistance lies at 22,300 levels.”

Story continues below advertisement

Jigar S Patel, Senior Manager – Equity Research, Anand Rathi, also believes that the index is close to the lower boundary of an upper channel, and its violation could be a sign of deeper market concerns. “Looking ahead, a fall below 21,900, the previous low of 21,777, could create panic in the market,” he said.

Meanwhile, increased volatility also seems to keep the bears in action against the bulls. India VIX, the fear gauge, surged 81 per cent in the last 12 consecutive sessions to hit 18.47, the highest closing level since October 13, 2022.

Story continues below advertisement

Here are 15 data points we collected to help you spot profitable trades

Key support and resistance levels on Nifty and bank nifty

Pivot point calculator indicates that Nifty 50 may find immediate support at 21,976 levels, followed by 21,934 and 21,865 points. At higher levels, the index is expected to face resistance at 22,072 levels, followed by resistance at 22,157 and 22,227 points.

Meanwhile, the banking index tried to make a comeback but failed to hold on to those gains and ultimately closed 67 points lower at 47,421, continuing its eighth consecutive session of weakness. Experts said the index has formed a small negative candle with a long upper shadow on the daily chart, indicating selling pressure at higher levels, but it is close to the middle of the Bollinger Bands, hence avoiding a pullback rally in the coming days. Cannot be denied. ,

“Bank Nifty is approaching its 20-week moving average of 47,240 and thus a sharp decline from the current levels is unlikely,” said Jatin Gedia, technical research analyst at Sharekhan by BNP Paribas.

Therefore, they expect a relief rally during the next week.

According to the pivot point calculator, the Bank Nifty index is likely to find support at 47,322, followed by 47,191 and 46,979. At higher levels, the index may see resistance at 47,472, followed by 47,878 and 48,090.

call option data

According to weekly options data, there was maximum call open interest with 68.44 lakh contracts at 23,000 strike. This level may act as a major resistance for Nifty in the short term. This was followed by a strike of 22,500, which had 54.7 lakh contracts, while a strike of 22,800 had 48.22 lakh contracts.

Meaningful call writing was seen at 22,800 strikes, which saw an increase of 15.6 lakh contracts. This was followed by 22,500 and 22,900 strikes, which added 14.49 lakh and 10.25 lakh contracts.

Maximum call unwinding was seen at 23,000 strike, which shorted 4.84 lakh contracts, followed by 21,900 and 22,300 strikes, which shorted 43,250 and 29,200 contracts respectively.

enter option data

On the Put side, maximum open interest was seen at 21,000 strike, which could act as a key support level for Nifty with 58.24 lakh contracts. This was followed by a strike of 22,000, covering 45.6 lakh contracts and then a strike of 21,500, covering 32.95 lakh contracts.

Maximum put writing was seen at 21,000 strike with 27.77 lakh contracts added, followed by 22,000 and 21,600 strikes with 15.28 lakh and 9.71 lakh contracts added respectively.

Put unwinding was seen at the strike of 22,200, with 1.6 lakh contracts liquidated. This was followed by 22,600 and 20,700 strikes with a shortfall of 60,400 and 43,925 contracts respectively.

Stocks with high delivery percentage

A high delivery percentage indicates investor interest in a stock. Among F&O stocks, highest deliveries were seen in Kotak Mahindra Bank, United Spirits, Shriram Finance, Voltas and Infosys.

Long build-up seen in 68 stocks

68 stocks including JK Cement, ABB India, Dr Lal PathLabs, Hindustan Copper and Apollo Tires witnessed long gains. Open interest (OI) and a rise in price indicate the creation of a long position.

Long unwinding is being seen in 15 stocks

On OI percentage basis, long buying was seen in 15 stocks, which included Godrej Properties, Mahanagar Gas, L&T Finance, State Bank of India and ICICI Bank. Open interest and price decline indicate a long unwinding.

Short build-up seen in 23 stocks

Short build-up was seen in 23 stocks including Cipla, ACC, Birlasoft, L&T Technology Services and M&M Financial Services. An increase in OI along with a fall in price indicates the creation of short positions.

Short covering is being seen in 81 stocks

On OI percentage basis, short-covering was seen in 81 stocks, including Coforge, BPCL, Lupine, Can Fin Homes and Pidilite Industries. A decrease in OI along with a price increase is a sign of short-covering.

put-call ratio

The Nifty put-call ratio (PCR), which reflects market mood, rose to 0.91 on May 10 from 0.90 in the previous session.

A PCR increasing or exceeding 0.7 or greater than 1 means that traders are selling more put options than call options, which generally indicates strengthening bullish sentiment in the market. If the ratio falls below 0.7 or rises toward 0.5, it indicates that selling in calls exceeds selling in puts, indicating a bearish mood in the market.

wholesale deal

For more wholesale deals, click here

Results on 13th May

UPL, DLF, Zomato, Jindal Steel & Power, Varun Beverages, Aditya Birla Capital, BLS e-Services, Shale Hotels, GIC Housing Finance, Ind-Swift Laboratories, Inox India, CE Info Systems and Tube Investments of India will release in March . Quarterly earnings on May 13.

stock in news

Tata Motors:The passenger and commercial vehicle maker has reported a consolidated net profit of Rs 17,407 crore for the quarter ended March FY24, up 222 per cent compared to Rs 8,159 crore in the corresponding period last fiscal, driven by tax credits and strong operating figures. is more. Revenue from operations increased 13.3 percent year-on-year to Rs 1,19,986 crore in the quarter.

Eicher Motors:The automobile company has reported standalone net profit of Rs 983.3 crore for the March FY24 quarter, up 32 per cent over the same period last fiscal due to strong operating data. Revenue from operations grew 9.4 percent to Rs 4,192 crore in the quarter.

Union Bank of India:The public sector lender has reported 19 per cent YoY growth in net profit to Rs 3,311 crore in Q4FY24 with 20 per cent YoY decline provisions. Net interest income in the quarter increased 14.4 percent year-on-year to Rs 9,437 crore.

ICICI Bank: Bijith Bhaskar has resigned from the post of Head – Cards, Payment Solutions, E-Commerce Ecosystem, Merchant Ecosystem, Consumer Finance of the bank. He was part of the senior management personnel group.

Zydus Lifesciences: The pharma company has received final approval from the United States Food and Drug Administration (USFDA) to market Dexamethasone tablets in the US. Dexamethasone is used to treat conditions such as arthritis, blood/hormone disorders, allergic reactions, skin diseases, eye problems, breathing problems, bowel disorders, cancer, and immune system disorders.

Fund Flow (Rs. Crore)

FII and DII data

According to provisional NSE data, foreign institutional investors (FIIs) sold shares worth a net Rs 2,117.50 crore on May 10, while domestic institutional investors (DIIs) sold shares worth Rs 2,709.81 crore.

Stocks under F&O ban on NSE

NSE has added Hindustan Copper to the F&O ban list for May 13, while retaining Balrampur Sugar Mills, Canara Bank, GMR Airports Infrastructure, Vodafone Idea, Punjab National Bank, SAIL and Zee Entertainment Enterprises in the said list. Aditya Birla Fashion & Retail and Piramal Enterprises were removed from the list.

Securities restricted under the F&O segment include those companies where derivative contracts exceed 95 per cent of the market-wide position limit.

Disclaimer: The views and investment tips expressed by experts on Moneycontrol are their own and not those of the website or its management. Moneycontrol advises users to check with certified experts before taking any investment decisions.

Disclosure: MoneyControl is a part of Network18 Group. Network18 is controlled by the Independent Media Trust, of which Reliance Industries is the sole beneficiary.

Leave a Comment

“The Untold Story: Yung Miami’s Response to Jimmy Butler’s Advances During an NBA Playoff Game” “Unveiling the Secrets: 15 Astonishing Facts About the PGA Championship”