Press "Enter" to skip to content

Trade setup for Friday: Nifty call put ratio, US GDP to SGX Nifty today — things to know before market’s opening bell | Mint – Mint

Volumes on the weekly derivatives expiry day on the NSE was higher than recent averages. Broad market underperformed as the mid-cap and small-cap indices rose less than the Nifty and the advance decline ratio though positive (at 1.50) was not euphoric.

Trade setup for today

After the fall in US GDP on second straight quarter, here we list out key things that one should know before the opening bell today:

Global markets cues

Despite fall in US GDP on second successive quarter, Wall Street ended in positive territory as major tech companies reported better than the expected earnings results. During Thursday deals on the Wall Street, Dow Jones gained 1.03 per cent whereas Nasdaq finished 1.08 per cent higher. S&P 500 jumped 1.21 per cent while Small Cap 2000 shot up 1.34 per cent.

European shares came off session highs on Thursday, as a slew of downbeat earnings took the shine off a global rally driven by easing worries about the future pace of US interest rate hikes.

Asian markets in early morning session

In early morning deals on Friday, Japanese Nikkei is up 0.20 per cent, Hong Kong’s Hang Seng is down 0.23 per cent whereas China’s Shanghai nudged 0.04 per cent north.

US Q2 GDP data

US Gross Domestic Product (GDP) contracted by 0.9 per cent in the second quarter of this year after a first-quarter drop of 1.6 per cent, the US Commerce Department said on Thursday in a preliminary estimate that technically placed the economy in a possible recession.

SGX Nifty today

In early morning deals on Friday, SGX Nifty is quoting 172 points higher from its Thursday close, which indicates gap up opening for the Indian markets in opening bell today.

“SGX Nifty is quoting higher by huge gap, which indicates that the Indian markets may have a gap up opening today despite weak US GDP data,” said Anuj Gupta, Vice President — Research at IIFL Securities.

Anuj Gupta went on to add that SGX Nifty has immediate support placed at 16,950 whereas 16,700 is major support for the index. He went on to add that immediate hurdle for SGX Nifty is placed at 17,350 whereas it is facing strong hurdle at 17,580 levels.

Nifty technical outlook

“Nifty has formed a third back to back up gap since July 15. None of the earlier two up gaps have been filled so far suggesting the strength of the upward thrust. The large move up suggest that FPIs have now again started to come back into India in a big way as the uncertainty over rate hikes is behind us for the time being. 17,092 to 17,132 band is the next resistance for the Nifty while 16,752 remains a support for the near term,” said Deepak Jasani, Head of Retail Research at HDFC Securities.

Bank Nifty technical outlook

“Immediate support for Bank Nifty is placed at 37,000 whereas 36,800 is expected to work as major support for the banking index. Likewise, Nifty Bank is facing immediate hurdle at 37,700 while 37,900 is major hurdle for the index. Hence, in another words, high risk traders can assume small range of the index in between 37,000 to 37,700 while broader range of Nifty Bank index is expected in between 36,800 to 37,900 levels,” said Sumeet Bagadia, Executive Director at Choice Broking.

Nifty Call Option data

“Maximum total Call open interest was seen at 17000, 17100 and 17200 strikes with total open interest of 60226, 35403 and 40881 contracts respectively. Maximum Call open interest addition was seen at 17000, 17200 and 17400 strikes which added 27591, 19602 and 23187 contracts respectively. Call unwinding was seen at 16700 strike which shed 7103 contracts,” said Chinmay Barve, Head — Technical & Derivative Research at Profitmart Securities.

Nifty Put Option data

As per data shown by nseindia.com at 3.30 pm on 28 July, Maximum total Put open interest was seen at 16800, 16700 and 16600 strikes with total open interest of 63668, 62117 and 66568 contracts respectively. Maximum Put open interest addition was seen at 16800 and 16700 strikes which added 60813 and 55830 contracts respectively. No major Put unwinding was seen at strikes ranging from 16600 to 17200.

Bank Nifty Call Option data

“Maximum total Call open interest was seen at 37500, 37800 and 38000 strikes with total open interest of 38650, 20233 and 45905 contracts respectively. Maximum Call open interest addition was seen at 37500 and 38000 strikes which added 24306 and 29871 contracts respectively. Call unwinding was seen at 36800 strike which shed 5317 contracts,” said Chinmay Barve of Profitmart Securities.

Bank Nifty Put Option data

“Maximum total Put open interest was seen at 37000, 36600 and 36500 strikes with total open interest of 43567, 20026 and 51132 contracts respectively. Maximum Put open interest addition was seen at 37000 and 36500 strikes which added 38253 and 28472 contracts respectively. No major Put unwinding was seen at strikes ranging from 36500 to 37500 strikes,” said Barve.

Nifty roll over report

“The Nifty July rollover stands at 75.69% on Thursday compared to 74.81% on same day of previous expiry which is lower than its Three months average of 77.27% and lower than its six months average of 77.63%. The rollover cost of Nifty in the July series stands at 0.19 on Thursday compared to -0.27 on same day of previous expiry. Nifty AUGUST series have started with total OI of 99.88 Lac shares compared to 127.66Lac shares in JULY expiry, shedding 27.78 Lac shares. The Market wide July rollover stands at 91.6% on Thursday as compared to 92.26% on same day of previous expiry which is lower than its three months average of 92.35% and higher than its six months average of 90.85%. Bank Nifty July rollover stands at 82.28% on Thursday compared to 87.42% on the same day of previous expiry which is lower than its Three months average of 85.88% and lower than its six months average of 84.93%,” Axis Securities reports.

Nifty Bank roll over report

“Bank Nifty AUGUST series have started with total OI of 20.55Lac shares compared to 24.26Lac shares in JULY expiry, shedding 3.71Lac shares. The Option data of AUGUST series shows high Call OI at 17,500 strike price followed by 18,000, while high Put OI concentration is seen at 16,500 followed by 16,000 indicating the probable range for the month from 16,500 to 17,500 and 17,000 acting as pivotal level,” Axis Securities reports.

FII DII data

Foreign institutional investors (FIIs) have net bought 1,637.69 crore worth of shares, whereas domestic institutional investors (DIIs) have net bought 600.29 crore worth of shares on July 29, as per provisional data available on the NSE.

US bond yield

US 10 year bond yield is up by 0.08 per cent to 2.683 whereas US 30 year bond yield is down by 0.45 per cent at 3.025.

Catch all the Business News, Market News, Breaking News Events and Latest News Updates on Live Mint.
Download The Mint News App to get Daily Market Updates.

More
Less

Subscribe to Mint Newsletters

* Enter a valid email

* Thank you for subscribing to our newsletter.