The equity market continued witnessing selling pressure as investors remained cautious ahead of the Union Budget, to be presented on February 1.
The need to push reform to boost growth as highlighted in the Economic Survey failed to lift markets, and Nifty50 closed below its crucial support of 12,000 on January 31, for the first time since January 6.
Sensex, Nifty & Nifty Bank post 1st monthly loss since August 2019. Market breadth favours declines; advance-decline ratio at 1:2. The Nifty fell 1.6 percent in January 2020.
The BSE Sensex dropped 190 points to 40,723 while the Nifty50 closed 73 points lower at 11,962.
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 11,904.1, followed by 11,846.1. If the index moves up, key resistance levels to watch out for are 12,061.8 and 12,161.5.
Nifty Bank closed 0.61 percent up at 30,833.60. The important pivot level, which will act as crucial support for the index, is placed at 30,672.47, followed by 30,511.34. On the upside, key resistance levels are placed at 31,014.07 and 31,194.54.
Call options data
Maximum call open interest (OI) of 18.33 lakh contracts was seen at the 12,500 strike price. It will act as a crucial resistance level in the February series.
This is followed by 12,200 strike price, which holds 17.47 lakh contracts in open interest, and 12,400, which has accumulated 10.12 lakh contracts in open interest.
Significant call writing was seen at the 12,000 strike price, which added 3.64 lakh contracts, followed by 12,500 strike price that added 3.18 lakh contracts.
Call unwinding was witnessed at 11,500 strike price, which shed 38,250 contracts.
Put options data
Maximum put open interest of 28.34 lakh contracts was seen at 12,000 strike price, which will act as crucial support in the February series.
This is followed by 11,500 strike price, which holds 16.04 lakh contracts in open interest, and 12,200 strike price, which has accumulated 9.20 lakh contracts in open interest.
Put writing was seen at the 12,000 strike price, which added 2.75 lakh contracts, followed by 11,500 strike, which added 2.24 lakh contracts.
Put unwinding was seen at 12,500 strike price, which shed 45,975 contracts.
Stocks with a high delivery percentage
A high delivery percentage suggests that investors are showing interest in these stocks.
13 stocks saw long build-up
30 stocks saw long unwinding
Based on open interest (OI) future percentage, here are the top 10 stocks in which long unwinding was seen.
80 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.
17 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.
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A Infrastructure, Amara Raja Batteries, Andhra Petrochemicals, Apollo Micro Systems, Choksi Imaging, Relaxo, Poly Medicure, Goldcrest Corporation and Sobha are among the companies that will declare their December quarter earnings on February 1.
Stocks in news
Divis Labs: US FDA clears the company's unit-II in Andhra Pradesh.
Hindustan Unilever: Q3 profit rises 11.9% to Rs 1,616 cr, revenue increases 2.6% to Rs 9,808 cr YoY.
J&K Bank: Q3 net loss at Rs 916.8 cr versus a profit of Rs 93.8 cr, NII rises 15.3% to Rs 1,208.2 cr YoY.
Castrol: Q3 profit jumps 28% to Rs 271.3 cr, revenue dips 2.1% to Rs 1,011.8 cr YoY.
Vedanta: Q3 profit increases 14.3% to Rs 2,665 cr, revenue declines 0.9% to Rs 21,126 cr YoY.
FII and DII data
Foreign institutional investors (FIIs) sold shares worth Rs 4,179.12 crore, while domestic institutional investors (DIIs) bought shares of worth Rs 3,816.44 crore in the Indian equity market on January 31, provisional data available on the NSE showed.
Stock under F&O ban on NSE
No security is under the F&O ban for February 1. 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.