The market ended the range-bound session at a new record closing high on June 20. It remained above all key moving averages. The Nifty 50 rose 51 points to 23,567 on the weekly F&O expiry session. It is expected to remain range-bound with resistance at the 23,600-23,650 area. If it closes decisively above this range, then a strong uptrend looks likely, with support at 23,400, experts said. Here are 15 data points we have collated to help you spot profitable trades:
Resistance based on pivot points: 23,614, 23,657, and 23,726
Story continues below Advertisement
Support based on pivot points: 23,475, 23,432, and 23,363
Special Formation: The Nifty 50 formed a small-bodied bearish candlestick pattern with a long lower shadow on the daily charts, indicating buying support at lower levels, with momentum indicators RSI and MACD showing a positive trend.
2) Key Levels For The Bank Nifty
Story continues below Advertisement
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 Formation: The Bank Nifty ended at a new closing high of 51,783 and formed a small-bodied bullish candlestick pattern with a long lower shadow on the daily timeframe, indicating buying interest at lower levels. The index was near the upper end of the Rising Channel.
According to the weekly options data, the maximum open interest was seen at 23,600 strike (with 1.43 crore contracts). This level can act as a key resistance level for the Nifty in the short term. It was followed by the 24,000 strike (1.13 crore contracts) and the 23,800 strike (73.24 lakh contracts).
Maximum Call writing was observed at the 23,600 strike, which saw an addition of 87.72 lakh contracts, followed by the 24,100 and 23,900 strikes, which added 25.55 lakh and 23.45 lakh contracts, respectively. The maximum Call unwinding was seen at the 23,500 strike, which shed 10.58 lakh contracts, followed by the 23,400 and 24,500 strikes, which shed 7.15 lakh and 4.78 lakh contracts, respectively.
On the Put side, the maximum open interest was observed at 23,500 strike (with 1.41 crore contracts), which can act as a key support level for the Nifty. It was followed by the 23,000 strike (90.59 lakh contracts) and the 23,400 strike (82.73 lakh contracts).
The maximum Put writing was visible at the 23,500 strike, which saw an addition of 87.96 lakh contracts, followed by the 23,400 and 22,800 strikes, with 31.57 lakh and 22.16 lakh contracts added, respectively. Put unwinding was observed at the 23,000 strike, which shed 11.77 lakh contracts, followed by 22,500 and 22,400 strikes, which shed 8.45 lakh and 3.51 lakh contracts, respectively.
5) Bank Nifty Call Options Data
According to the monthly options data, the maximum Call open interest was seen at the 52,000 strike, with 20.66 lakh contracts. This can act as a key resistance level for the index in the short term. It was followed by the 53,000 strike (19.34 lakh contracts) and the 51,500 strike (13.87 lakh contracts).
Maximum Call writing was visible at the 53,000 strike (with the addition of 7.77 lakh contracts), followed by the 51,800 strike (7.48 lakh contracts) and the 52,000 strike (5.57 lakh contracts), while the maximum Call unwinding was seen at 51,000 strike, (which shed 2.61 lakh contracts), followed by 51,300 strike (76,575 contracts), and 51,200 strike (49,140 contracts).
6) Bank Nifty Put Options Data
On the Put side, the 51,000 strike holds the maximum open interest (with 24.03 lakh contracts), which can act as a key support level for the index. This was followed by the 51,500 strike (18.96 lakh contracts) and the 51,200 strike (11.56 lakh contracts).
The maximum Put writing was observed at the 51,500 strike (which added 8.89 lakh contracts), followed by the 51,700 strike (7.44 lakh contracts) and the 51,600 strike (5.35 lakh contracts), while there was hardly any Put unwinding seen.
7) Funds Flow (Rs crore)
8) Put-Call Ratio
The Nifty Put-Call ratio (PCR), which indicates the mood of the market, jumped to 1.29 on June 20 from 1.10 levels in the previous session.
The increasing PCR, or being higher than 0.7 or surpassing 1, means traders are selling more Put options than Call options, which generally indicates the firming up of a bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, then it indicates selling in Calls is higher than selling in Puts, reflecting a bearish mood in the market.
9) India VIX
The volatility dropped after rising in the previous two consecutive sessions, giving some comfort to bulls. The India VIX, the fear index, fell by 2.68 percent to 13.35, from 13.71 levels, and remained below all key moving averages.
A long build-up was seen in 76 stocks. An increase in open interest (OI) and price indicates a build-up of long positions.
11) Long Unwinding (14 Stocks)
14 stocks saw a decline in open interest (OI) along with a fall in price, indicating long unwinding.
12) Short Build-up (43 Stocks)
43 stocks saw an increase in OI along with a fall in price, indicating a build-up of short positions.
13) Short-Covering (52 Stocks)
52 stocks saw short-covering, meaning a decrease in OI, along with a price increase.
Here are the stocks that saw a high share of delivery trades. A high share of delivery reflects investing (as opposed to trading) interest in a stock.
15) Stocks Under F&O Ban
Securities banned under the F&O segment include companies where derivative contracts cross 95 percent of the market-wide position limit.
Stocks added to F&O ban: Birlasoft, GNFC,
Stocks retained in F&O ban: Balrampur Chini Mills, Hindustan Aeronautics, Hindustan Copper, Indus Towers, Piramal Enterprises
Stocks removed from F&O ban: Chambal Fertilisers and 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 taking any investment decisions.
Disclosure: Moneycontrol is a part of the Network18 group. Network18 is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.
