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Last Updated : Dec 12, 2019 08:56 PM IST | Source: Moneycontrol.com

Trade Setup for Friday: Top 15 things to know before Opening Bell

Key support level for Nifty is placed at 11935.37, followed by 11898.93. If the index continues moving up, key resistance levels to watch out for are 12006.87 and 12041.93.

The Indian market closed in the green for the second consecutive day on December 12 as investor sentiment got a boost from positive global sentiment and government's move to ease pressure from the country's shadow banks.

Sensex closed 169 points, or 0.42 percent, higher at 40,581.71 while Nifty shut shop at 11,971.80, with a gain of 62 points, or 0.52 percent.

Nifty on December 11 had taken support near the junction of the 40-day exponential moving average and the daily lower Bollinger Band. The bounce thereon continued on December 12 as well.

Close

On the way up the index crossed the 20-day moving average, which is a crucial short-term moving average as well as the upper channel line on the hourly chart on an intraday basis.

The benchmark index, however, couldn’t sustain in the higher territory on a closing basis. The index faced selling pressure as it crossed the key psychological level of 12,000, which is now acting as a resistance.

"The bulls need to take out the 12,000-mark on a closing basis in order to confirm the fresh leg of the rally. On the flip side, the gap area of 11,923-11,934 will act as an immediate support zone," said Gaurav Ratnaparkhi, Senior Technical Analyst at Sharekhan by BNP Paribas.

We have collated 15 data points to help you spot profitable trades:

Key support and resistance level for Nifty

According to the pivot charts, the key support level for Nifty is placed at 11935.37, followed by 11898.93. If the index continues moving up, key resistance levels to watch out for are 12006.87 and 12041.93.

Nifty Bank

Nifty Bank closed 1.31 percent up at 31,665.45. The important pivot level, which will act as crucial support for the index, is placed at 31,441.2, followed by 31,217. On the upside, key resistance levels are placed at 31,800.5 and 31,935.6.

Call options data

Maximum call open interest (OI) of 28.31 lakh contracts was seen at the 12,000 strike price. It will act as a crucial resistance level in the December series.

This is followed by 12,200 strike price, which holds 21.82 lakh contracts in open interest, and 12,100, which has accumulated 15.43 lakh contracts in open interest.

Significant call writing was seen at the 12,000 strike price, which added 2.11 lakh contracts, followed by 12,300 strike price that added 59,775 contracts and 12,500 strike which added 45,000 contracts.

Call unwinding was witnessed at 12,100 strike price, which shed 99,900 contracts, followed by 11,900 which shed 70,650 contracts.

Image 1

Put options data

Maximum put open interest of 35.31 lakh contracts was seen at 11,500 strike price, which will act as crucial support in the December series.

This is followed by 12,000 strike price, which holds 33.22 lakh contracts in open interest, and 11,800 strike price, which has accumulated 25.61 lakh contracts in open interest.

Put writing was seen at the 11,900 strike price, which added nearly 5.92 lakh contracts, followed by 12,000 strike, which added 5 lakh contracts.

Put unwinding was seen at 11,600 strike price, which shed 63,450 contracts.

Image 2

Stocks with a high delivery percentage

A high delivery percentage suggests that investors are showing interest in these stocks.

High delivery

101 stocks saw long buildup

Based on open interest (OI) future percentage, here are the top 10 stocks in which long buildup was seen.

Long Buildup

No stock saw long unwinding

As per available data, there was not a single stock in the F&O segment that witnessed long unwinding.

31 stocks saw short build-up

An increase in open interest, along with a decrease in price, mostly indicates a build-up of short positions. Based on open interest (OI) future percentage, here are the top 10 stocks in which short build-up was seen.

Short buildup

16 stocks witnessed short-covering

As per available data, 16 stocks witnessed short-covering. A decrease in open interest, along with an increase in price, mostly indicates a short covering. Based on open interest (OI) future percentage, here are the top 10 stocks in which short-covering was seen.

Short covering

Bulk deals

Bulk Deals

(For more bulk deals, click here)

Upcoming analyst or board meetings/briefings

The board of ABans Enterprises will meet on December 13 to consider and approve the interim dividend.

The board of AU Small Finance Bank will meet on December 13 for general purpose.

The respective boards of Apollo Finvest India, Akme Star Housing Finance, India Home Loan and Sahara Housing will meet on December 13 to consider and approve their quarterly results.

Stocks in the news

Wipro: Company bagged multi-year order from Olympus for cloud services.

Navin Fluorine: Company will invest over Rs 450 crore in a new project at Dahej, Gujarat.

VIP Industries: Jogendra Sethi resigned as CFO.

InterGlobe Aviation: IndiGo's market share at 47.5 percent in November 2019 versus 47.4 percent in November 2018.

Bank of Baroda: Lender allotted 65.1 crore equity shares aggregating to Rs 7,000 crore to the government on a preferential basis.

FII and DII data

Foreign institutional investors (FIIs) sold shares worth Rs 683.83 crore, while domestic institutional investors (DIIs) bought shares of worth Rs 810.23 crore in the Indian equity market on December 12, provisional data available on the NSE showed.

Fund flow

Fund Flow

Stock under F&O ban on NSE

Yes Bank is under the F&O ban for December 13. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.

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First Published on Dec 12, 2019 08:02 pm
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