Moneycontrol
Last Updated : Jul 12, 2018 09:07 AM IST | Source: Moneycontrol.com

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

Maximum put open interest of 52.82 lakh contracts was seen at the 10,600 strike price. This will act as a crucial support level for July series.

Sunil Matkar @moneycontrolcom
Sandip Das @Im_Sandip1

The Nifty50 which started on a mildly positive note failed to gain momentum seen in previous three consecutive sessions and closed flat on Wednesday. This was despite sharp weakness in global peers after the United States issued a new list of Chinese products worth $200 billion for potential 10 percent tariffs.

The market took a breather after three-day of gains indicated investors looked cautious ahead of June CPI inflation and May industrial output data due tomorrow.

The 50-share NSE Nifty index formed an indecisive pattern known as 'Doji' on the daily candlestick charts, which also resembles 'Spinning Top’ kind of pattern.

A 'Doji' is formed when the index opens and then closes approximately around the same level but remain volatile throughout the day which is indicated by its long shadow on either side. It appears like a cross or a plus sign.

Spinning Top is often regarded as a neutral pattern which suggests indecisiveness on the part of both bulls as well as bears. It can be formed in an uptrend as well as in a downtrend.

The Nifty50 after opening at 10,956.40 traded in a range of 54 points (10,976.65-10,923.00) before closing 1 points higher at 10,948.30.

This can be a healthy pause after a three-day gains but the index needs to close above 10,976 levels (which was today's intraday low) to resume upward trajectory and reclaim 11,100 levels, experts said.

"It appears to be the day of consolidation on the bourses as Nifty50 signed off the session almost where it opened which resulted in Doji kind of formation," Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in told Moneycontrol.

He said it can be a healthy pause as, after hitting a bottom of 10,557, there were only 2 negative sessions out of 9 and hence it can be some sort of profit booking and traders are advised not to read too much into this pause.

Trend will not favour bears unless the index closes below 10,860 levels and till then any dip shall be considered as an opportunity to go long, he feels. "Strength in the indices shall reemerge once bulls manage a close above 10,976 levels with an initial target placed around 11,100."

India VIX moved up by 3.06 percent at 12.77 levels. Spurt in VIX after the decline of last five sessions have given a pause in positive momentum.

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 10,948.30 on Wednesday. According to Pivot charts, the key support level is placed at 10,921.97, followed by 10,895.63. If the index starts moving upwards, key resistance levels to watch out are 10,975.67 and 11,003.03.

Nifty Bank:

The Nifty Bank index closed at 26,816.20, down 78.35 points on Wednesday. The important Pivot level, which will act as crucial support for the index, is placed at 26,747.59, followed by 26,679. On the upside, key resistance levels are placed at 26,911.79, followed by 27,007.40.

Call Options Data

Maximum call open interest (OI) of 43.07 lakh contracts was seen at the 11,000 strike price. This will act as a crucial resistance level for July series.

This was followed by the 10,800 strike price, which now holds 29.95 lakh contracts in open interest, and 10,900, which has accumulated 26.23 lakh contracts in open interest.

Call writing was seen at the strike price of 11,000, which added 6.24 lakh contracts, followed by 11,200, which added 2.19 lakh contracts and 11,100 which added 1.6 lakh contracts.

Call unwinding was seen at the strike price of 10,800, which shed 0.96 lakh contracts, followed by 10,700, which shed 0.73 lakh contracts and 10,500 which shed 0.43 lakh contracts.

Image411072018

Put Options data

Maximum put open interest of 52.82 lakh contracts was seen at the 10,600 strike price. This will act as a crucial support level for July series.

This was followed by the 10,700 strike price, which now holds 48.80 lakh contracts in open interest, and the 10,800 strike price, which has now accumulated 47.14 lakh contracts in open interest.

Put Writing was seen at the strike price of 10,800, which added 7.46 lakh contracts, followed by 10,900, which added 6.98 lakh contracts and 10,700, which added 2.37 lakh contracts.

Put Unwinding was seen at 10,300, which shed over 0.59 lakh contracts, followed by 10,500, which shed 0.19 lakh contracts.

Image511072018

FII & DII data

Foreign institutional investors (FIIs) bought shares worth Rs 636.27 crore and domestic institutional investors purchased shares worth Rs 15.33 crore in the Indian equity market on Wednesday, as per provisional data available on the NSE.

Fund Flow Picture:

FII&DII

 

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.

Image611072018

17 stocks saw long buildup

Image711072018

26 stocks saw short covering

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

Image811072018

89 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.

Image911072018

76 stocks saw long unwinding

Image1011072018

Bulk Deals

Bright Solar Limited: Elite Accfin Solutions Private Limited sold 2,22,000 shares at Rs 36.25 per share

Ganga Forging Limited: Trivedi Pranav Girish (HUF) bought 1,62,000 shares at Rs 21.11 per share

Sirca Paint India Limited: Next Orbit Ventures Fund sold 2,53,600 shares at Rs 148.98 per share

Sumeet Industries Limited: Mystique Media Private Limited sold 15,10,382 shares at Rs 12.04 per share

Suumaya Lifestyle Limited: Srichand Valiram Kataria (HUF) sold 2,88,000 shares at Rs 18.28 per share

(For more bulk deals, click here)

Analyst or Board Meet/Briefings

Coromandel Engineering Company: Board meeting for announcement of June quarter earnings scheduled to be held on July 24.

Superior Industrial Enterprises: Audit Committee of the company will be scheduled to consider and approve unaudited financial results for the June quarter on August 13.

Vama Industries: Board meeting is scheduled to be held on July 20 to consider the reappointment of Managing Director, Executive Director of the company.

Eris Lifesciences: Company to meet analysts of Edelweiss Asset Management on July 12.

Filatex India: Board meeting for announcement of June quarter earnings scheduled to be held on July 24.

Rajapalayam Mills: 82nd Annual General Meeting to be held on August 10.

DCB Bank: The bank has scheduled an Investor Conference Call to present Q1 FY19 earnings on July 16.

Bharat Forge: 57th Annual General Meeting to be held on August 9.

EIH Associated Hotels: 35th Annual General Meeting to be held on August 3.

Eimco Elecon India: 44th Annual General Meeting to be held on July 31.

Bhagwandas Metals: Board meeting for announcement of June quarter earnings scheduled to be held on July 19.

Indian Card Clothing: Board meeting for announcement of June quarter earnings scheduled to be held on July 26.

Bharti Infratel: Board meeting for announcement of June quarter earnings scheduled to be held on July 25.

Axis Bank: Board meeting for announcement of June quarter earnings scheduled to be held on July 30.

Emami: Board meeting for announcement of June quarter earnings scheduled to be held on August 1.

Kirloskar Ferrous Industries: Board meeting for announcement of June quarter earnings scheduled to be held on July 25.

N R Agarwal Industries: Board meeting for announcement of June quarter earnings scheduled to be held on July 24.

Radico Khaitan: Board meeting for announcement of June quarter earnings scheduled to be held on July 24.

India Grid Trust: Board meeting for announcement of June quarter earnings scheduled to be held on July 25.

Stocks in news

IDFC: Appoints Rinkoo Somani as interim chief financial officer.

HIL board approves acquisition of German firm through arm

Chambal Fertilisers: Board of directors of Inuva, which is a downstream subsidiary of the company, has approved voluntary winding up of the company under the provisions of Insolvency and Bankruptcy Code. Inuva is not having any business operations.

Coffee Day Enterprises: Material subsidiary of the company, Coffee Day Global (CDGL) entered into an agreement with UBER Portier.B.V wherein CDGL is partnering with UBER for obtaining technology services through the 'UberEats' mobile application in order to enable distribution of food products. This may help to augment the retail sale and the contract is for a period of five years.

Omaxe: Company has executed a Concession Agreement with North Delhi Municipal Corporation (North DMC) for the Redevelopment/Reconstruction of Multi level Car Parking at Gandhi Maidan, Delhi.

Satin Creditcare Network: Board has approved the proposal to transfer MSME business of the company to its wholly owned subsidiary (WOS), acquisition of 11,05,493 equity shares of subsidiary Taraashna Services from MV Mauritius.

Smartlink Network Systems: Company has extinguished equity shares in connection with the buyback of 56 lakh equity shares of Smartlink Holdings.

 

1 stock under ban period on NSE

Securities in ban period for the next day's trade under the F&O segment includes companies in which the security has crossed 95 percent of the market-wide position limit.

For July 12, IDBI is present in this list.
First Published on Jul 12, 2018 07:16 am
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