The next crucial support for the index is placed at 10,440 and a close below this level could take the index towards 10,132 levels, suggest experts.
The Indian market wiped out morning gains and witnessed an intraday movement of nearly 200 points on November 12. The Nifty took support at its 13-days exponential moving average (EMA) placed around 10,455 and formed a strong bearish candle on the daily charts.
The index breached its 5-EMA on the downside, bounced back from 13-EMA but failed to close above 10,500 levels. The next crucial support for the index is placed at 10,440. A close below this level could take the index towards 10,132 levels, suggest experts.
The index formed a Hanging Man kind of pattern in the previous trading session and formation of a bearish candle on Monday confirms the formation of an intermediate top. The index is witnessing selling pressure in the range of 10600-10650.
Monday marks the third consecutive day when Nifty rose above 10,600 on an intraday basis but failed to hold on to that level on a closing basis.
The Nifty 50 which opened at 10,607 rose to an intraday high of 10,645. The index witnessed selling pressure around 10,650 which pushed the index below 10,500 to hit an intraday low of 10,464. The index finally closed 103 points lower at 10,484.
India VIX move up sharply by 9.05 percent at 19.36 levels. The spurt in volatility after the decline of the last two weeks suggests bears are putting pressure at higher zones. VIX has to cool down below 16 zones to get the next leg of smooth upside rally in the market.
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 10,482.2 on Monday. According to Pivot charts, the key support level is placed at 10,415.63, followed by 10,349.07. If the index starts moving upwards, key resistance levels to watch out are 10,597.13 and then 10,712.07.
The Nifty Bank index closed at 25,539.8 on Monday. The important Pivot level, which will act as crucial support for the index, is placed at 25,387.53, followed by 25,235.27. On the upside, key resistance levels are placed at 25,799.63, followed by 26,059.46.
Call Options Data
Maximum Call open interest (OI) of 34.15 lakh contracts was seen at the 11,000 strike price. This will act as a crucial resistance level for the November series.
This was followed by the 10,700 strike price, which now holds 31.09 lakh contracts in open interest, and 10,800, which has accumulated 29.87 lakh contracts in open interest.
Maximum call writing was seen at the strike price of 10,700, which added 5.05 lakh contracts, followed by 11,000 which added 4.26 lakh contracts, and 10,600, which added 3.17 lakh contracts.
There was hardly any Call unwinding seen.
Put Options data
Maximum Put open interest of 48.11 lakh contracts was seen at the 10,000 strike price. This will act as a crucial support level for the November series.
This was followed by the 10,200 strike price, which now holds 30.03 lakh contracts in open interest, and the 10,500 strike price, which has now accumulated 21.60 lakh contracts in open interest.
There was hardly any Put writing seen.
Put writing was seen 2.59 lakh contracts at the strike price of 10,600, followed by 10,200, which shed 2.37 lakh contracts and 10,000, which shed 1.83 lakh contracts.
FII & DII data
Foreign institutional investors (FIIs) bought shares worth Rs 832.15 crore and domestic institutional investors sold Rs 1,073.84 crore worth of shares in the Indian equity market on Monday, as per provisional data available on the NSE.
Fund Flow Picture
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.
18 stocks saw a long buildup
19 stocks saw short covering
A decrease in open interest along with an increase in price mostly indicates short covering.
77 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.
92 stocks saw long unwinding
Jet Airways: Shaastra Securities has traded over 10.57 lakh shares of the firm at Rs 245.47-245.54 apiece.
MIC Electronics: Malaxmi Infra Ventures sold 1.4 crore shares at Rs 2.2 apiece, while Malaxmi Property Ventures purchased 1.31 crore shares at Rs 2.2 per share.
PC Jeweller: Shaastra Securities traded 25.15 lakh shares at Rs 92.01-92.13 apiece.
Usha Martin: Societe Generale bought 18.92 lakh shares at Rs 44.88.
(For more bulk deals, click here)
Analyst or Board Meet/Briefings
CEAT: The company is attending conferences arranged by Macquarie and CLSA on November 13 and 14, 2018.
AU Small Finance Bank: Wasatch Advisors met the lender on November 9, 2018.
Dilip Buildcon: An analyst meet to discuss financial results is scheduled on November 13, 2018.
Mahindra Finance: The company is meeting multiple investors between November 13 and December 3, 2018.
RBL Bank: Indus Capital Advisors, Wasatch Advisors and Ambit Capital met the firm on November 12, 2018.
Dr Lal Pathlabs: Jackson Square Partners will meet the firm on November 13, 2018.
Dixon Tech: The company is meeting multiple analysts between November 13 and 19, 2018.
Stocks in news
Bank of India: The bank reported Q2 net loss at Rs 1,156 crore.
Shree Cement: Q2 net loss reported at Rs 49.3 crore.
Jet Airways: The company reported Q2 net loss at Rs 1,297.5 crore against loss of Rs 1,323 crore (QoQ).Godrej Industries: Net profit rises 59 percent at Rs 189.5 crore against Rs 119.3 crore last year.
UCO Bank: The net loss has been reported at Rs 1,136.4 crore against a loss of Rs 622.6 crore (YoY).
Oil India: The net profit has risen 22.6% at Rs 862 crore against Rs 703.2 crore (QoQ).
MMTC: Q2 net profit rises three-fold to Rs 32 crore
JK Paper: Q2 net profit jumps 93.4% to Rs 109 crore
Tata Motors: The Group’s global sales rose 5.62% in October.
1 stock under ban period on NSE
Securities in ban period for the next day's trade under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.For November 13, 2018 Adani Power is present in this list.