The market gained strength after morning volatility and continued to end at a record closing high on August 5. Metals, FMCG and IT stocks led support to the market.
The BSE Sensex climbed 123.07 points to 54,492.84, while the Nifty50 rose 35.80 points to 16,294.60 and formed a Doji candlestick pattern as the closing was near opening levels.
"A small positive candle was formed with upper and lower shadow. Technically, this pattern indicates a formation of Doji type candle pattern (not a classical one) at the all-time highs. Technically, such formation of Doji patterns after the reasonable upmove could be considered as confusion among participants at the crucial juncture," Nagaraj Shetti, Technical Research Analyst at HDFC Securities told Moneycontrol.
"Sometimes, such movement results in reversal or downward correction from the highs. Having moved up sharply in the last few sessions, there is the possibility of consolidation or minor downward correction from the highs near to its breakout points support around 16,000-16,100 as per the concept of change in polarity," he said.
"Such anticipated decline could be a buy on dips opportunity in the market as per the concept of change in polarity," he added.
On the broader markets front, the Nifty Midcap 100 index was up 0.01 percent and the Smallcap 100 index fell 0.57 percent.
We have collated 15 data points to help you spot profitable trades:
Note: The open interest (OI) and volume data of stocks given in this story are the aggregates of three-month data and not of the current month only.
Key support and resistance levels on the Nifty
According to pivot charts, the key support levels for the Nifty are placed at 16,220.1, followed by 16,145.6. If the index moves up, the key resistance levels to watch out for are 16,359.3 and 16,424.
Nifty Bank
The Nifty Bank fell 193.25 points to close at 35,834.80 on August 5. The important pivot level, which will act as crucial support for the index, is placed at 35,625.6, followed by 35,416.4. On the upside, key resistance levels are placed at 36,079.7 and 36,324.6 levels.
Call option data
Maximum Call open interest of 21.55 lakh contracts was seen at 16500 strike, which will act as a crucial resistance level in the August series.
This is followed by 16000 strike, which holds 15.87 lakh contracts, and 15800 strike, which has accumulated 15.76 lakh contracts.
Call writing was seen at 16700 strike, which added 1.7 lakh contracts, followed by 16400 strike, which added 76,150 contracts and 16800 strike which added 73,300 contracts.
Call unwinding was seen at 16000 strike, which shed 1.02 lakh contracts, followed by 15800 strike which shed 97,500 contracts, and 15900 strike which shed 97,050 contracts.
Put option data
Maximum Put open interest of 29.07 lakh contracts was seen at 16000 strike, which will act as a crucial support level in the August series.
This is followed by 15800 strike, which holds 28.31 lakh contracts, and 15500 strike, which has accumulated 26.53 lakh contracts.
Put writing was seen at 16000 strike, which added 4.18 lakh contracts, followed by 16300 strike which added 4.01 lakh contracts, and 16100 strike which added 1.29 lakh contracts.
Put unwinding was seen at 15800 strike, which shed 3.57 lakh contracts, followed by 17000 strike which shed 9,250 contracts.
Stocks with a high delivery percentage
A high delivery percentage suggests that investors are showing interest in these stocks.
46 stocks saw long build-up
An increase in open interest, along with an increase in price, mostly indicates a build-up of long positions. Based on the open interest future percentage, here are the top 10 stocks in which a long build-up was seen.
18 stocks saw long unwinding
A decline in open interest, along with a decrease in price, mostly indicates a long unwinding. Based on the open interest future percentage, here are the top 10 stocks in which long unwinding was seen.
67 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 the open interest future percentage, here are the top 10 stocks in which a short build-up was seen.
33 stocks witnessed short-covering
A decrease in open interest, along with an increase in price, mostly indicates a short-covering. Based on the open interest future percentage, here are the top 10 stocks in which short-covering was seen.
Bulk deals
Gokaldas Exports: Pramerica Mutual Fund acquired 2,96,323 equity shares in the company at Rs 218.62 per share on the NSE, the bulk deals data showed.
SBI Life Insurance Company: CA Emerald Investments sold 1.9 crore equity shares in the company at Rs 1,130 per share on the BSE, the bulk deals data showed.
(For more bulk deals, click here)
Results on August 6 & August 7, and Analysts/Investors Meeting
Results on August 6: Hindalco Industries, Mahindra & Mahindra, Aarti Industries, Abbott India, Alkem Laboratories, Anupam Rasayan India, APL Apollo Tubes, Asian Granito India, AU Small Finance Bank, Balkrishna Industries, BASF India, Bharat Electronics, BEML, Berger Paints India, Graphite India, Indigo Paints, JK Tyre & Industries, Metropolis Healthcare, MTAR Technologies, Muthoot Finance, NALCO, Piramal Enterprises, SAIL, Sandhar Technologies, Sona BLW Precision Forgings, Tata Power Company, Torrent Power, Ujjivan Small Finance Bank, Voltas, and Zee Entertainment Enterprises will release quarterly earnings on August 6.
Results on August 7: Divis Labs, Bank of Baroda, Advanced Enzyme Technologies, Affle (India), Amber Enterprises India, Atul Auto, DCB Bank, Dodla Dairy, Dollar Industries, Hindustan Copper, Indiabulls Real Estate, Jaiprakash Associates, Quick Heal Technologies, and VRL Logistics will release quarterly earnings on August 7.
Strides Pharma Science: The company's officials will meet analysts and investors on August 6 to discuss the un-audited financial results.
Zee Entertainment Enterprises: The company's officials will meet analysts and investors on August 6 to discuss performance during Q1FY22.
Siemens: The company's officials will meet analysts and investors in 'Macquarie ESG Score' group call on August 6.
Star Housing Finance: The company's officials will meet analysts and investors on August 6 to discuss financial performance.
Dollar Industries: The company's officials will meet analysts and investors on August 9 to discuss the financial results.
Gati: The company's officials will meet analysts and investors on August 12 to discuss Q1FY22 earnings.
Stocks in News
Adani Power: The company reported consolidated profit at Rs 278.22 crore in Q1FY22 against loss of Rs 682.46 crore in Q1FY21, revenue increased to Rs 6,568.86 crore from Rs 5,203.83 crore YoY.
Accelya Solutions India: The company reported higher consolidated profit at Rs 18.35 crore in Q1FY22 against Rs 3.55 crore in Q1FY21, revenue rose to Rs 85.72 crore from Rs 62.83 crore YoY.
Quess Corp: The company reported higher consolidated profit at Rs 44.63 crore in Q1FY22 against Rs 36.45 crore in Q1FY21, revenue increased to Rs 298.69 crore from Rs 240.94 crore YoY.
Cipla: The company reported higher consolidated profit at Rs 714.72 crore in Q1FY22 against Rs 577.91 crore in Q1FY21, revenue rose to Rs 5,504.35 crore from Rs 4,346.16 crore YoY.
Honeywell Automation India: The company reported lower profit at Rs 91.53 crore in Q1FY22 against Rs 98.08 crore in Q1FY21, revenue fell to Rs 683.20 crore from Rs 736.23 crore YoY.
Adani Transmission: The company reported higher consolidated profit at Rs 433.24 crore in Q1FY22 against Rs 355.40 crore in Q1FY21, revenue jumped to Rs 2,935.72 crore from Rs 2,542.84 crore YoY.
Fund flow
FII and DII data
Foreign institutional investors (FIIs) net sold shares worth Rs 719.88 crore, while domestic institutional investors (DIIs) net bought shares worth Rs 731.92 crore in the Indian equity market on August 5, as per provisional data available on the NSE.
Stocks under F&O ban on NSE
Four stocks - Canara Bank, Indiabulls Housing Finance, RBL Bank, and Sun TV Network - are under the F&O ban for August 6. 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.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
