Nifty Overview & Outlook

The Benchmark Nifty index ended on a strong note and settled at new record highs i.e. 19389 levels after adding 66 points to its previous closing values after highly volatile trading session.

Midcap index underperformed the benchmark as its down 0.23% while small-cap index ended on a flat to positive note against the 0.34% gains of the frontline index.

Majority of sectoral indices tracked at NSE settled in green. Amongst them, PSU Bank and IT indices were the top performer, up 1.89% and 1% respectively followed by Media and Financial services that were up nearly 1% each. On the other hand, Oil & Gas and Auto indices were the worst performer down 0.68% and 0.48% respectively.

Technically, Nifty index is well placed on multiple chart frames. Going ahead, we reiterate our bullish view on Nifty index and suggest traders to follow buy on dips trading approach till it is holding above 18850 levels on a closing basis.

Derivatives Overview & Outlook

Yesterday, Nifty, Banknifty and Finnifty futures added around 1%, 4% & 20% of open interest respectively as long buildup.

On the sectoral front, short buildup was seen among Chemicals, Auto and Realty stocks whereas some long buildup was seen among Banking stocks.

On options front, put writing was seen at multiple strikes and maximum positions are at 19300 PE and 19400 CE.

Institutional Trading Activity

Yesterday, FIIs bought stocks worth Rs 2134 Cr in the cash segment, sold stocks futures worth Rs 1255 Cr and bought index futures worth Rs 1173 Cr. DIIs were net sellers in the cash segment to the tune of Rs 785 Cr.

Nifty Futures & Bank Nifty Futures Key Levels

Nifty – Resistances 19500-19600; Supports 19360-19280

Banknifty – Resistances 45600-45750; Supports 45100-44900

Finnifty – Resistances 20500-20560; Supports 20300-20200

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