On June 20, the market ended a range-bound session at a new record closing high. It traded above all major moving averages. Nifty50 rose 51 points to 23,567 in the weekly F&O expiry session. It is expected to remain range-bound with resistance in the 23,600-23,650 zone. Experts said if it closes decisively above this range, a strong uptrend is likely with support at 23,400. Here are 15 data points we have compiled to help you identify profitable trades:
Resistance based on pivot points: 23,614, 23,657, and 23,726
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Support based on pivot points: 23,475, 23,432, and 23,363
Special Formation: Nifty50 formed a small sized bearish candlestick pattern with a long lower shadow on the daily chart, indicating buying support at lower levels, along with momentum indicators RSI and MACD showing a positive trend.
2) Key Levels for Bank Nifty
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Resistance based on pivot points: 51,850, 51,982, and 52,196
Support based on pivot points: 51,421, 51,289, and 51,075
Resistance based on Fibonacci retracement: 52,507, 53,235
Support based on Fibonacci retracement: 50,561, 49,714
Special StructureBank Nifty ended at a new closing high of 51,783 and formed a small shaped bullish candlestick pattern with a long lower shadow on the daily time frame, indicating buying interest at lower levels. The index was near the upper end of the rising channel.
3) Nifty Call Option Data
According to weekly options data, maximum open interest was seen at 23,600 strike (with 1.43 crore contracts). This level may act as a key resistance level for Nifty in the short term. This was followed by 24,000 strike (1.13 crore contracts) and 23,800 strike (73.24 lakh contracts).
Maximum Call writing was witnessed at 23,600 strike, which added 87.72 lakh contracts, followed by 24,100 and 23,900 strikes, which added 25.55 lakh and 23.45 lakh contracts, respectively. Maximum Call unwinding was witnessed at 23,500 strike, which lost 10.58 lakh contracts, followed by 23,400 and 24,500 strikes, which lost 7.15 lakh and 4.78 lakh contracts, respectively.
4) Nifty Put Option Data
On the put side, maximum open interest was seen at 23,500 strike (with 1.41 crore contracts), which could act as a key support level for Nifty. This was followed by 23,000 strike (90.59 lakh contracts) and 23,400 strike (82.73 lakh contracts).
Highest Put writing was witnessed at 23,500 strike, which added 87.96 lakh contracts, followed by 23,400 and 22,800 strikes, which added 31.57 lakh and 22.16 lakh contracts, respectively. Put unwinding was witnessed at 23,000 strike, which lost 11.77 lakh contracts, followed by 22,500 and 22,400 strikes, which lost 8.45 lakh and 3.51 lakh contracts, respectively.
5) Bank Nifty Call Option Data
According to monthly options data, the maximum call open interest was seen at 52,000 strike, with 20.66 lakh contracts. This could act as a key resistance level for the index in the short term. This was followed by 53,000 strike (19.34 lakh contracts) and 51,500 strike (13.87 lakh contracts).
Maximum call writing was witnessed at 53,000 strike (which added 7.77 lakh contracts), followed by 51,800 strike (7.48 lakh contracts) and 52,000 strike (5.57 lakh contracts), while maximum call unwinding was witnessed at 51,000 strike (which lost 2.61 lakh contracts), followed by 51,300 strike (76,575 contracts) and 51,200 strike (49,140 contracts).
6) Bank Nifty Put Option Data
On the put side, 51,000 strike has the maximum open interest (with 24.03 lakh contracts), which could act as a key support level for the index. This is followed by 51,500 strike (18.96 lakh contracts) and 51,200 strike (11.56 lakh contracts).
Maximum Put writing was witnessed at 51,500 strike (which added 8.89 lakh contracts), followed by 51,700 strike (7.44 lakh contracts) and 51,600 strike (5.35 lakh contracts), while hardly any Put unwinding was witnessed.
7) Fund Flow (Rs. in crores)
8) Put-Call Ratio
The Nifty put-call ratio (PCR), which gauges the market mood, hit 1.29 on June 20, while it was at 1.10 in the previous session.
An increase in the PCR, or a ratio greater than 0.7 or greater than 1, means that traders are selling more put options than call options, which generally indicates a strong bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, it indicates that sales in calls are higher than sales in puts, indicating a bearish mood in the market.
9) India VIX
Volatility eased after gains in the last two consecutive sessions, providing some relief to the bulls. India VIX, which is a fear index, fell 2.68 per cent to 13.35 from 13.71 levels, and remained below all major moving averages.
10) Long Build-up (76 stocks)
Long build-up was seen in 76 stocks. The increase in open interest (OI) and price indicates a build-up of long positions.
11) Long Unwinding (14 stocks)
14 stocks witnessed a decline in open interest (OI) as well as price, indicating long unwinding.
12) Short Build-up (43 stocks)
43 stocks witnessed a decline in price along with an increase in open interest, indicating build-up of short positions.
13) Short-Covering (52 stocks)
Short-covering was witnessed in 52 stocks, which means the OI decreased along with the price rise.
14) High Delivery Trade
Here are the stocks that saw a high share of delivery trades. A high share of delivery indicates investing (as opposed to trading) interest in a stock.
15) Stocks under F&O ban
Restricted securities under the F&O segment include companies whose derivative contracts exceed 95 per cent of the market-wide position limit.
Stocks included in the F&O ban: Birlasoft, GNFC,
Stocks included in the F&O ban: Balrampur Chini Mills, Hindustan Aeronautics, Hindustan Copper, Indus Towers, Piramal Enterprises
Stocks removed from F&O ban: Chambal Fertilizers & Chemicals, India Cements, SAIL
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 making any investment decisions.
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