Moneycontrol
Last Updated : Sep 28, 2018 08:34 AM IST | Source: Moneycontrol.com

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

Highest Call unwinding was seen at the strike price of 10,900 which shed 5.62 lakh contracts, followed by 11,600 which shed 2.56 lakh contracts and 11,300 which shed 2.10 lakh contracts.

Sunil Shankar Matkar

The Nifty50 repeated its previous day's trading pattern on Thursday, the expiry day of September futures & options contracts. The index opened sharply higher but after positive trade in the initial period, it extended losses as the day progressed and closed below psychological 11,000 levels.

The index formed a bearish candle again on the daily charts.

The Nifty Bank, Auto, Financial Service, Pharma and Realty indices were down 1-3 percent while the Nifty Midcap index underperformed frontliners, falling 2.3 percent.

The Nifty50 opened higher at 11,079.80 and closed sharply lower at 10,977.55. The index managed to rise up to 11,089.45, the intraday high, in first half of an hour of trade but suddenly wiped out those gains and remained weak for rest of the session to hit day's low of 10,953.35. It closed 76.30 points lower at 10,977.50.

The sentiment continued to be weakened and if that worsens further then it could also break its recent panic low levels, experts said.

"Nifty50 continued to remain under pressure on expiry day as it registered another bearish candle post Tuesday’s strong recovery," Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in, told Moneycontrol.

In next session he said unless it sustains above 10,950 levels the test of recent panic low of 10,866 looks inevitable. "However, below 10,866 critical support appears to be placed around 10,797 levels breach of which shall strengthen the chances of extending this downswing upto 10,557 levels."

He feels unless this index recovers and closes above 11,145 levels upside momentum shall not be expected. Hence, for time being Mazhar advised traders to refrain from going long and should look to consider fresh shorts below 10,800 levels for a target of 10,557.

The India Volatility Index fell by 2.2 percent to 16.71.

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

Key support and resistance level for Nifty

The Nifty closed at 10,977.55 on Thursday. According to Pivot charts, the key support level is placed at 10,924.03, followed by 10,870.57. If the index starts moving upwards, key resistance levels to watch out are 11,060.23 and 11,142.97.

Nifty Bank

The Nifty Bank index closed at 25,042.15, down 334.15 points on Thursday. The important Pivot level, which will act as crucial support for the index, is placed at 24,882.03, followed by 24,721.87. On the upside, key resistance levels are placed at 25,327.43, followed by 25,612.67.

Call Options Data

Maximum Call open interest (OI) of 39.81 lakh contracts was seen at the 11,200 strike price. This will act as a crucial resistance level for the October series.

This was followed by the 11,100 strike price, which now holds 39.13 lakh contracts in open interest, and 11,000, which has accumulated 30.86 lakh contracts in open interest.

Call writing was seen at 11,000 strike, which added 16.43 lakh contracts, followed by 11,100 which added 12.39 lakh contracts and 11,200 which added 3.56 lakh contracts.

Highest Call unwinding was seen at the strike price of 10,900 which shed 5.62 lakh contracts, followed by 11,600 which shed 2.56 lakh contracts and 11,300 which shed 2.10 lakh contracts.

Image127092018

Put Options data

Maximum Put open interest of 28.29 lakh con tracts was seen at the 10,900 strike price. This will act as a crucial support level for the October series.

This was followed by the 10,800 strike price, which now holds 26.47 lakh contracts in open interest, and the 10,700 strike price, which has now accumulated 24.21 lakh contracts in open interest.

Put writing was seen at the strike price of 10,900, which added 1.87 lakh contracts in open interest.

Put unwinding was seen at the strike price of 11,000, which shed 26.70 lakh contracts in open interest, followed by 11,200 which shed 14.67 lakh contracts and 11,100 which shed 11.39 lakh contracts.

Image227092018

FII & DII data

Foreign institutional investors (FIIs) bought shares worth Rs 552.44 crore while domestic institutional investors sold shares worth Rs 186.69 crore in the Indian equity market on Thursday, as per provisional data available on the NSE.

Fund Flow Picture

Image427092018

Stocks with high delivery percentage

High delivery percentage suggests that investors are accepting delivery of the stock, which means that investors are bullish on it.

Image327092018

No stock saw a long buildup

There was not a single stock in Long Buildup list.

36 stocks saw short covering

A decrease in open interest along with an increase in price mostly indicates short covering.

Image727092018

3 stocks saw a short build-up

An increase in open interest along with a decrease in price mostly indicates a build-up of short positions.

Image627092018

168 stocks saw long unwinding

Image527092018

Rollovers

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Bulk Deals

Adlabs Entertainment: BP Fintrade 3,55,890 equity shares of the company at Rs 19.02 per share while Bhaijee Infin sold 7,53,250 shares at Rs 19.26 per share.

Agro Phos India: Sah Fintrades purchased 1,08,000 shares of the company at Rs 32.96 per share.

Cerebra Integrated Technologies: Manish G Lakhi bought 35,00,000 shares of the company at Rs 31.35 per share.

Dewan Housing Finance Corporation: BNP Paribas Arbitrage bought 49,00,000 shares of the company at Rs 296.28 per share.

High Ground Enterprise: Rajesh Sharma purchased 7,80,000 shares of the company at Rs 10.85 per share.

(For more bulk deals, click here)

Analyst or Board Meet/Briefings

Container Corporation of India: Company's officials will be attending Dolat Capital Market's investors' meet in Singapore and Hong Kong during November 12-16.

Godawari Power & Ispat: Shri Dinesh Gandhi, Director of the Company will attend 'The Metal Medley', an exclusive investor conference to be held on September 28 at Mumbai.

Cipla: Company's officials will be meeting William Blair, Franklin Templeton and Mirae Asset Management (P) HK on September 28.

Gujarat Pipavav Port: Company has a meeting on September 28 with Deutsche Equities India Pvt Ltd of Deutsche Bank Group.

Maithan Alloys: Cfficials of the company will be having a call with few investors and analysts on September 28.

Abbott India: Company's officials will be meeting several analysts/investors on September 28.

Aditya Birla Fashion and Retail: Board meeting is scheduled to be held on November 2 to consider results for the quarter and half year ended on September 2018.

Tata Metaliks: Company will be participating in an Investor Conference on Metal Sector organised by Centrum Broking on September 28.

Graphite India: Management of the company is scheduled to meet investors on September 28 at The Metal Medley Investor Conference organized by Centrum in Mumbai.

Endurance Technologies: Company's officials will be meeting Motilal Oswal Asset Management and SBI Funds Management Private Limited on September 28.

Siemens: Company's officials are meeting ICICI Prudential Asset Management Company on September 28 and DSP Investment Managers Private Limited on October 5.

Lumax Auto Technologies: Company's officials will be meeting analysts and investors on September 28.

Stocks in news

IL&FS Financial Services: Company defaulted on 7 repayments between September 12 & 27.

DB Realty: Company to increase its stake in Neelkamal Realtors Tower Pvt. Ltd. (Project "One Mahalakshmi" at Mahalakshmi, Mumbai) and make it a wholly owned subsidiary of the company.

IL&FS Transportation Networks: CARE revised rating on non-convertible debenture of Rs 1,015 crore to BB/Outlook-Negative from BB (SO), non-convertible debenture of Rs 750 crore to BB/Outlook-Negative from BB- (SO) and bank facilities of Rs 500 crore to BB/Outlook-Negative from BB- (SO).

PNB: Bank to consider infusion of Rs 5,431 crore by government via preferential share issue.

PNB: CBI filed case against directors & promoters of telecom company VMC Systems Private Ltd after complaint from the bank - CNBC-TV18.

Yes Bank: The bank confirms it is compliant with Schedule-II Corporate Governance of SEBI, saying it has no dealings with three sister family offices and denies window dressing of corporate accounts to hide NPAs.

Indian Energy Exchange: Board fixes record date as October 22 for the purpose of sub-division of face value of equity shares.

Karnataka Bank: The bank in association with Bajaj Allianz General Insurance launched a unique QR Code based instant two wheeler insurance policy.

Canara Bank: Board decided to raise equity share capital amounting upto Rs 250 crore (Face Value), through qualified institutional placement (QIP) route, by issuing upto 25 crore equity shares of face value Rs 10 each, for an aggregate amount not exceeding Rs 6,000 crore.

Indowind Energy: The board approved allotment of 1,03,208 equity shares to Merrill Lynch International/UK by converting $1,00,000 foreign currency convertible bonds and opening of Liaison office of the company at London/Dubai/Singapore to meet business requirements.

Mercator: Paritosh Kakkad has resigned from the position of Independent Director of the company with immediate effect on account of future conflict of interest.

Assam Company: Company fixed record date for the purpose of delisting of equity shares.

IFCI: CARE reaffirmed its rating on company's long term bank facility, subordinate bonds and non-convertible debentures.

EIH: Board appointed Kallol Kundu as the Chief Financial Officer (CFO) of the company in place of Biswajit Mitra, the existing CFO.

Bank of Baroda: Fitch Ratings has placed bank's Viability Rating (VR) of 'bb' on Rating Watch Negative (RWN) following the announcement that the government plans to merge the India-based bank with two mid-sized state banks, Vijaya Bank and Dena Bank. Fitch has concurrently affirmed BoB's Issuer Default Rating (IDR) at 'BBB-' with a Stable Outlook, Support Rating at '2' and Support Rating Floor at 'BBB-'.

Leel Electricals: Company announced securing first program for offering design, development, manufacturing and supply of oil cooling system including Heat Exchanger to Hindustan Aeronautics Limited (HAL) for its Helicopter platform. With strong footprints in Rail, Metro and Defence (Land) HVAC Systems, this order is a step forward to enter into the aerospace sector for engine cooling and air conditioning.

IL&FS Engineering and Construction Company: Debabrata Sarkar, Non-Executive Independent Director of the company has tendered his resignation from the directorship of the company with effect from September 26, 2018 due to various other professional commitments.

Tasty Dairy Specialities: Atul Mehra, Chairman has entered into a MOU with Chandra Shekhar Azad University of Agriculture & Technology, Kanpur with the objective of research and development in dairy and to set up a dairy farm for training of the farmers and upgrading the dairy farm at Kanpur.

Sea TV Network: Company has received resignation letter from Ajay Goel as CFO.

Cochin Shipyard: Company and the Andaman & Nicobar Administration have entered into an MoU whereby company shall take up the operation & maintenance of the Marine Dry-Dock at Port Blair.

Trident: Commercial paper of Rs 50 crore issued on July 12 with maturity date of September 27 has been redeemed.

Eimco Elecon (India): Company has entered into a Technology & License Agreement with CZM USA Corp, USA for design, manufacture and sale of drilling rigs, generally used in construction sector, for a term of 10 years, in various countries except America.

Accel Frontline: Name of the company has been changed to Inspirisys Solutions Limited.

Everest Kanto Cylinder: Board has passed necessary circular resolution for closure and winding up of the business operation of EKC Industries (Thailand) Co, a wholly owned subsidiary.
First Published on Sep 28, 2018 07:20 am
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