KS Oils is the stock to watch out for next week

Today was a very interesting day. Volumes of over Rs 1 lakh crore were noticed. The important thing was the PCR which moved up from 1.48 to 1.58. The put writers were back, hedges were being bought. But some positions were building up in the Nifty Futures. The Nifty Futures, which ended up nearly 63 points recovered over 100 points from the day's low, we saw some addition happening in there. The premium is 24 points which will be adjusted going ahead.

 

But we saw a huge mix of short covering plus long build up happening on the Nifty front when it was trading at the low point of the day. It saw good turnover of nearly Rs 16,500 crore.

 

The star of F&O today has to be midcap PSU banks. Dena Bank , the stock which ended up nearly 14% with a huge build up of nearly 36 lakh shares in open interest, which is nearly 50% for this stock. Vijaya Bank another stock which was up nearly 8% with an open interest build up of nearly 15 lakh shares, which is nearly 15% for this stock.

 

Few other stocks which were buzzing; JP Hydro which has been strong from the last few days, the stock was up nearly 7.5% with a good build up of nearly 16.5 lakh shares which is 20% for this stock. Mercator Lines has been buzzing in line with the Baltic Dry Index (BDI), but today it was on the back of short covering, the stock was up nearly 4% with a cut of nearly 2.5 lakh shares in open interest.

 

KS Oils ended flat. But importantly there was a cut of nearly 32 lakh shares which was seen on this stock and a huge open interest build up of 1.13 crore. This stock is having a habit of moving into F&O curve also. So watch this stock for next week as well.