Nifty close to its support of 4450

CNBC-TV18s Research Analyst, Anuj Singhal : It looked like some of the traders would have closed their shorts because Nifty closed very close to its support level of 4450, that’s the next support level that the players are talking about which is 4500 or 4450. So there could be discount of 5 points because towards the end there would have been some profits booking from short players but through the day there was some massive hammering which took place in the Nifty. The turn over was quite high about 30% higher than what we are seeing over the last few days, nearly 16,000 crore. Some of the stronger stocks turned weak and that’s the key point, you have something like a Cairn which added about 13 lakh shares in open interest and it was down by about Rs 20. 

Then we had Reliance power which was singled out with harsh treatment in the last 10 minutes of trade, 14 lakh was the open interest build up and this stock traded at almost Rs 200. If you translate that its about Rs 320 cum bonus, if you were to see how much a retail player would be gaining or loosing. There was a fresh build up of nearly 12 lakh shares in Tata Steel and that’s stock was down quite bit in today’s trade, down by about Rs 50.

GMR too from the infrastructure space, with a build up of nearly 11 lakh shares, down nearly Rs 8 and Essar oil again another strong stock which has turned weak, nearly 8 lakh shares build up. A lot of unwinding in the momentum stocks continue, IFCI, Chambal Fertilizers, ISPAT which is coming up now, a cut of about 28 lakh shares.