Market outlook and trade setup for Friday

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The Nifty has taken gap up opening and remain positive to get surge to important benchmark 10800 but couldn't retained the same and lost the breakout position and closed with gain and bullish sign.

The Nifty index has a strong support near 10,600, 10,650 and 10,730 levels. If the index breaks 10,698 levels in the forthcoming sessions, there is a higher probability that bears could make a comeback.The Nifty which opened at 10,722 rose to an intraday high of 10,818. The index failed to close near its intraday high and closed 83 points higher at 10,768.But in the last two days, it looks like bulls have tightened their grip on D-Street as Nifty is finding support at lower levels. The next target for Nifty is placed at 10,920 only if it manages to close above 10,820. Price action suggest if Nifty trades below 10,722 levels for some time at least one hour on Friday then it may set the tone for profit booking, but we knows indian market behaves like peak hour  traffic on one side of the road.
India volatility index  moved up by 1.81 percent at 12.55 levels and with high Put call option suggest lower volatility and bullish biasness for Fridays trade.

FIIs are again come out as net seller in the cash  by selling worth RS 524 crore shares and DIIs bought share worth Rs 1194 crore in cash segment.

Balrampur Chini and DHFl are in F&O Ban list for tomorrow trade

Nifty Index

Nifty would been in supply zone below 10720-25 and profit booking may drag it to to 10675 level and If nifty took support at 10720-25 and start moving upward, next resistance and target would be again remain 10820 and closing above 10820 will only open the gate for next upward level of 10920 and 11000!

Bank Nifty Index

Bank Nifty would be having strong support at 26420 and 26300 if traded below 26500, would face profit booking on last day of the week but sustaining above 26525 and further any pull back can take it back to 26700 and at 26800 levels which are key resistances.

Call Option data Analysis 

Max call open interest buildup has been seen at 11000 followed by 10800 and 10700 with accumulation of  40/30/28 lakh contracts in open interest where as Call unwinding was seen at the strike price of 10,800, which shed 4.01 lakh contracts, followed by 10,700, which shed 2.91 lakh contracts as well as 10,600, which shed 2.69 lakh conracts.

Max put open interest buildup has been seen at 10600 with 43 lakh contracts followed by 10200 and 10500 by 34 and 33 lakh contacts.Maximum put writing was seen at the strike prices of 10,700, which added 10.13 lakh contracts, followed by 10,800, which added 7.08 lakh contracts, and 10,600, which added 2.8 lakh contracts.

Put unwinding was seen at the strike price of 10,200, which shed 1.71 lakh contracts, followed by 10,500, which shed 1.13 lakh contracts.

observation: Emmkay_ra

market setup for wednesday

TRADE SETUP FOR WEDNESDAY

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NIFTY given a flat opening following global clues near 10630 and sharply broken down to 10589 and 10565 with continuous short and sell off in the system though it has taken sharp recovery in way of shot covering and seem will continue tomorrow before the RBI policy in second half.

Though the fact market is having shot in the system but see resistance at 10650 and 10675 and support above 10550 and 10535 level near 10 and 50 DMA, which suggest one must trade cautiously and avoid large position. As per market opinion 25 bpsalready discounted in sensex any positive remark or postponement can create positive wave in the market and any surprise on hike create further sell off, suggest high volatility in second half and suggest to be cautious before that.

  India VIX fell 4.03 percent to 13.32. On the options front, maximum put open interest was seen at the 10,200 strike price, followed by the 10,600 strike price, while maximum call open interest was seen at the 11,000 strike price, followed by the 10,700 strike price.

FII and DII data

Foreign institutional investors (FIIs) sold shares worth Rs 157.51 crore, while domestic institutional investors bought shares worth Rs 474.33 crore in the Indian equity market.

year as per experts opinion and its certainly good sign of our market.

Option Summary

In terms of open interest, the 11,000 Call option has seen the most call writing so far at 45.69 lakh contracts.The second-highest buildup has taken place in the 10,700 call option, which has seen 33.70 lakh contracts getting written so far. The 10,800  call option has accumulated 31.80 lakh. The Max call writing was seen at the strike price of 11,000, which saw 5.96 lakh contracts getting written, followed by 10,800, which added 4.46 lakh contracts, and 10,900, which added 3.11 lakh contracts.

Maximum open interest in put options was seen at a strike price of 10,200, in which 34.30 lakh contracts have been added till date.The 10,500 put option comes next, having added 29.57 lakh contracts. Maximum put writing was seen at the strike prices of 10,100, which added 2.06 lakh contracts, followed by 10,000, which added 1.68 lakh contracts, and 10,400, which added 1.67 lakh contracts.

Put unwinding was seen most at the strike price of 10,700, which shed 1.61 lakh contracts, followed by the 10,300 strike price

For June 6, DHFL is the only stock on the F&O ban list.

Bulk deals:

Bombay Dyeing: Jitendra Navlani bought 12 lakh shares of the firm at Rs 220.20 apiece.

Electrosteel Steels: Anurag Choudhary bought 2.15 crore shares at the rate of Rs 1.27 apiece.

Justdial: Shaastra Securities traded 7.92 lakh shares at Rs 528 apiece.

PC Jeweller: Vaibhav Stock & Derivatives Broking traded 37.64 lakh shares at Rs 130.5 apiece.

Reliance Communications: Shaastra Securities exchanged over 1.7 crore shares at Rs 14.8 apiece.

Market Outlook And Trade Set Up for Thursday Market

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Nifty50 closed yesterday with another bearish and volatile session which has given swing of 91 point and  put index down till 10699 but able to mange the closed near 10741.
Its continuously fourth day where nifty shows Indecisiveness to obtain the trend.
Nifty may see more pressure below 10700 and 10650 and 10800 is now working as immediate resistance!
Banknfity also witness pressure and looking for target 26000 and 25920 with resistance at 26380!

Call Put Data Study

In terms of open interest (OI), the 11,000 Call option has seen the most call writing so far and followed by10800 and 10900  added by 5 lakh and 3 lakh contract . Call unwinding seen at 11000 and 11200

Maximum open interest in put options was seen at a strike price of 10,500 following by 10700 and 10600 by adding 44 and 43 lakh contracts in OI.

Foreign institutional investors (FIIs) sold shares worth Rs 699.22 crore, while domestic institutional investors bought shares worth Rs 229.06 crore in the

Stocks in focus

Here are stocks that are in the news today:

Tata Steel Q4:

-Consolidated profit at Rs 14,688 crore versus loss Rs 1,168 crore; revenue at Rs 36,132.30 crore versus Rs 35,304.9 crore (YoY); exceptional gain at Rs 11,376 crore versus loss Rs 4,068.6 crore (YoY)

-Standalone profit at Rs 1,030.9 crore versus Rs 1,415 crore; revenue at Rs 16,281 crore versus Rs 17,113 crore; exceptional loss at Rs 1,607.4 crore versus loss Rs 442 crore (YoY)

-Tata Steel Europe EBIT at Rs 1,154.2 crore versus Rs 1,972.2 crore; revenue at Rs 16,208 crore versus Rs 15,243.5 crore (YoY)

Ester Industries Q4: Net profit at Rs 5.6 crore versus loss of Rs 0.6 crore; revenue at Rs 220 crore versus Rs 215.1 crore (YoY).

JSW Steel Q4: Consolidated net profit at Rs 2,879 crore versus Rs 1,008 crore; revenue up 25 percent at Rs 20,817 crore versus Rs 16,656 crore (YoY).

Praj Industries Q4: Net profit up 30.4 percent at Rs 22.9 crore versus Rs 17.6 crore; revenue down 9.5 percent at Rs 226.7 crore versus Rs 250.4 crore (YoY)

Manali Petrochemical Q4: Net profit at Rs 26.6 crore versus Rs 6.8 crore; revenue up 26 percent at Rs 189.9 crore versus Rs 150.7 crore (YoY)

JK Lakshmi Cement Q4: Net profit up 62.5 percent at Rs 33.8 crore versus Rs 20.8 crore; revenue up 11.2 percent at Rs 897 crore versus Rs 806.7 crore (YoY)

Alembic Pharmaceuticals Q4: Profit up at Rs 93.99 crore versus Rs 92.96 crore; revenue up at Rs 853.3 crore versus Rs 741.35 crore (YoY).

F&O Ban List

stocks such as DHFL, Jet Airways, Jaiprakash Associates, Just Dial, PC Jeweller, Wockhardt and Reliance Communications are in the F&O ban list.

Trade Set Up for the next week. (14th May_18th May)

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Nifty has given a closed on Friday at bullish note. 

After a bearish Wednesday and Thursday,  As expected nifty has broken the resistance of 10780-10800 and closed above that which suggest market is bullish but cautious before Karnataka election outcome. 

Election survey suggesting BJP as largest party with a hung parliament. 

 And any change in outcome will certainly put pressure on long positions. so stay cautious before election outcome on your new potions.

Nifty has major support now at 10780 and 10700 breaking below can slip to 10600-10550 where as on higher side 10900-11000 will work as major resistance level where nifty has consolidated for a long time before braking down.

Though the fact is index has closed on bullish note but apart of financial and metal sector market have given side of Bears and seen heavy sell off and profit booking across specially in Mid cap and small cap.

Bank nifty closed at 26410 and having next target of 26540-650 with support of 26200-26000!
And closing above 26540 will make gate open for 26900 -700( Major Resistance)

Call underwriting  on 11000 call at highest level followed by 10900 & 10800 call. call writing also seen addition in OI at 11200 and 11100 with addition of 2.4L and 1.83 contract.
call unwinding been seen at 10900 followed by 10700 which shed 3.60 lakh  and 2.45 Lakh contract.
Maximum open interest in put options was seen at a strike price of 10,600, in which 63.18 lakh contracts been added till date. This could be a crucial resistance level for the index in May series.
Max accumulation been seen at 10600 followed by 10700 and hardly any unwinding been seen at put on any level.

FIIs been continuously seller in the market whereas  DIIs and retailers are net buyer in the market.

Happy Trading

As observe by EMMKAY_RA

Monday pre market outlook, 07th May 2018

The nifty 50 closed the week with RED at crucial support  at 10600, daily and weekly chart confirm the bearish pattern.

I

nvestors are advised to stay cautious as the weekly chart pattern suggests a pause in momentum at least for the time being.A firm close below 10,600 could fuel selling pressure in the Nifty while a close above 10,700 could put bulls back in charge of markets.

the key support level is placed at 10,580, followed by 10,540. If the index starts moving upwards, key resistance levels to watch out are 10,680 followed by 10,740

Bank Nifty crucial support for the index, is placed at 25,560, followed by 25,500. On the upside, key resistance levels are placed at 25,710, followed by 25,770.

we may open flat to positive following Asian market and later on can continue on the trend of global market clues.

FIIs have pulled out over Rs 15,500 crore from the Indian capital market in April, making it the steepest outflow in 16 months, due to surge in global crude prices and rise in yields of government securities here. This comes after an inflow of Rs 11,654 crore in equities in March and an outflow of over Rs 9,000 crore from the debt market during the same period.

As many as 30 companies will be reporting their results for the quarter ended March later today which include names like ICICI Bank, Inox Leisure, Pfizer, Rane Holdings, Shalby, Tata Chemicals, and Tata Coffee among others

IRB Infrastructure, Balrampur Chini Mills, PC Jeweller, Jet Airways and Just Dial are present in FO Ban list.

Emmkay