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Last Updated : Sep 18, 2019 08:46 PM IST | Source: Moneycontrol.com

Trade Setup for Thursday: Top 14 things to know before Opening Bell

Other than geopolitical developments, the FOMC meet outcome will be a key factor.

Nishant Kumar @Nishantopines

Benchmark indices Sensex and Nifty snapped a two-day losing streak and ended with healthy gains on September 18.

Rupee's healthy gain against the US dollar and easing global crude oil prices gave a leg up to investor sentiment. The Indian currency jumped 55 paise to end at 71.23 per dollar on September 18.

Brent crude fell by nearly 6 percent and erased some of the previous day gains after Saudi Arabia said that 50 percent of daily oil production has been restored post the drone attacks.

Close

Sensex closed 83 points, or 0.23 percent, higher at 36,563.88, with 18 stocks in the green and 12 in the red.

BSE Midcap and Smallcap indices outperformed Sensex, closing 0.39 percent and 0.30 percent higher, respectively.

Barring telecom (down 0.43 percent) and auto (down 0.10 percent), all sectoral indices logged gains. Realty, metal and oil & gas closed 1.54 percent, 1.34 percent and 1.10 percent up, respectively.

Nifty closed with a mild gain of 23 points, or 0.21 percent, at 10,840.65. Among the 50 stocks in the Nifty pack, 33 closed with gains.

The index after opening higher at 10,872.80 traded within a range of 10,804.85-10,885.15.

"Nifty overall has been in a broader range between 10,650-11,150 range and either side breakout would give a sizeable trading opportunity. Till 10,650 zone is not breached on the downside decisively we remain contra bullish on the Nifty," said Manav Chopra, CMT, Head Research - Equity at Indiabulls Ventures.

The volatility index, India VIX, fell by 4.17 percent to 15.35 level.

Experts opine that other than the geopolitical developments, the FOMC meet outcome tonight would be a key factor as there is a wide expectation of a rate cut. However, commentary on growth and rate outlook would be crucial.

We have collated 14 data points to help you spot profitable trades:

Key support and resistance level for Nifty

According to the pivot charts, key support level for Nifty is placed at 10,801.93, followed by 10,763.17. If the index keeps moving up, key resistance levels to watch out for are 10,882.33 and 10,923.97.

Nifty Bank

The Nifty Bank closed at 27,172.65, up 0.15 percent, on September 18. The important pivot level, which will act as crucial support for the index, is placed at 27,036.21, followed by 26,899.7. On the upside, key resistance levels are placed at 27,361.8 and 27,550.9.

Call options data

Maximum call open interest (OI) of 34.98 lakh contracts was seen at the 11,000 strike price. It will act as a crucial resistance level in the September series.

This is followed by 11,200 strike price, which now holds 31.68 lakh contracts in open interest, and 11,100, which has accumulated 24.12 lakh contracts in open interest.

Significant call writing was seen at the 11,000 strike price, which added 2 lakh contracts, followed by 11,300 strike price that added 1.90 lakh contracts and 10,800 strike which added 1.80 lakh contracts.

Minor call unwinding was seen at 10,500 strike price, which shed 1,500 contracts.

Image 1

Put options data

Maximum put open interest of 37.97 lakh contracts was seen at 10,800 strike price, which will act as crucial support in September series.

This is followed by 10,600 strike price, which holds 30.83 lakh contracts in open interest, and 11,000 strike price, which has accumulated 23.37 lakh contracts in open interest.

Significant put writing was seen at the 10,900 strike price, which added 2.88 lakh contracts, followed by 10,800 strike, which added 1.82 lakh contracts and 10,700 strike which added 1.43 lakh contracts.

Put unwinding was seen at 11,000 strike price, which shed 92,775 contracts, followed by 11,100 strike which shed 82,725 contracts.

Image 2

Stocks with a high delivery percentage

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

High delivery

100 stocks saw long buildup

Long buildup

6 stocks saw long unwinding

Long unwinding

45 stocks saw short build-up

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

Short buildup

11 stocks saw short-covering

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

Short covering

Bulk deals

Buld deals

(For more bulk deals, click here)

Upcoming analyst or board meetings/briefings:

BCL Industries: The company's board will meet on September 19 for general purpose.

IDBI Bank: The company's board will meet on September 19 to consider the preferential issue of shares.

Lincoln Pharmaceuticals: The company's board will meet on September 19 to consider and approve the draft scheme of amalgamation of Lincoln Parenteral ('The Transferor Company') with Lincoln Pharmaceuticals.

Minda Finance: The company's board will meet on September 19 to discuss quarterly results.

Morepen Laboratories: The company's board will meet on September 19 for general purpose.

Punjab & Sind Bank: The company's board will meet on September 19 to consider capital infusion up to Rs 800 crore by the Government of India through preferential issue of equity shares.

Stocks in news:

Central Bank of India: ICRA has reaffirmed "ICRA A+" rating with 'negative' outlook on lower tier-II bonds of the bank. On upper tier-II bonds, ICRA assigned "ICRA A-" with a negative outlook.

Tata Communications: The company and Cisco partner to create a fully managed contact centre solution for enhanced customer experience.

NALCO: The company has announced a record 115 percent dividend amounting to Rs 1,072.73 crore for 2018-19, which works

out to Rs 5.75 per equity share of Rs 5 each.

Mahindra CIE Automotive: Credit rating agency ICRA has reaffirmed the rating for the commercial paper programme of the company as "ICRA Al+".

RITES: The company has bagged export contract worth Rs 160 crore from the Ministry of Transport & Civil Aviation, Sri Lanka.

NTPC: The company is to build the world's largest single-location solar plant with a capacity of 5,000 MW under Ultra Mega Renewable Power Project, reported CNBC-TV18, quoting sources.

OBC: ICRA has revised outlook of bonds from 'stable' to 'rating watch with positive implications'.

Laurus Labs: The company will buy pharmacare subsidiary for 75,000 South African rands.

Amrapali Fincap: Gujarat Natural Resources sold 12.09 percent stake in Amrapali Fincap in the open market on September 17.

Manappuram Finance: The board of the company will consider raising up to Rs 465 crore on September 23.

Madhav Infra: The company has got orders for for road and solar projects worth Rs 258 crore.

Advanced Enzyme Technologies: CRISIL has reaffirmed "CRISIL A" rating on the company's long term facilites and "CRISIL

A1" on short term facilities, cumulatively worth Rs 100 crore.

FII & DII data

Foreign institutional investors (FIIs) sold shares worth Rs 959.09 crore, while domestic institutional investors (DIIs) bought Rs 780.45 crore worth of shares in the Indian equity market on September 18, as per provisional data available on the NSE.

 

No stock under ban period on NSE

There is no stock under F&O ban for September 19. Securities in 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 Sep 18, 2019 08:41 pm
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