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Last Updated : Feb 04, 2020 09:17 PM IST | Source: Moneycontrol.com

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

the key support level for Nifty is placed at 11,846.67, followed by 11,713.63. If the index continues moving up, key resistance levels to watch out for are 12,049.47 and 12,119.23.


Positive global cues and lower crude oil prices helped the Indian market close with strong gains on February 4.

Experts said, after the budget, the market has shifted its focus back to fundamentals and earnings. With strong PMI data, in-line January auto sales numbers and decent Q3FY20 earnings season so far, the sentiments have turned positive.

The BSE Sensex rose 917 points, or 2.30 percent, to 40,789.38 while the Nifty50 closed with gains of 272 points, or 2.32 percent, at 11,979.65.

Close
"The index is on the verge of retesting the breakdown trendline and 12,030–12,050 zone would be crucial for further momentum. If it manages to sustain above 12,050, then up move may extend towards 12,150–12,200. While immediate support is now shifting higher to 11,780 and then 11,600 zone," said Siddhartha Khemka, Head - Retail Research, Motilal

Oswal Financial Services Private.

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 11,846.67, followed by 11,713.63. If the index continues moving up, key resistance levels to watch out for are 12,049.47 and 12,119.23.

Nifty Bank

Nifty Bank closed 2.21 percent up at 30,686.70. The important pivot level, which will act as crucial support for the index, is placed at 30,320.43, followed by 29,954.17. On the upside, key resistance levels are placed at 30,914.93 and 31,143.17.

Call options data

Maximum call open interest (OI) of 19.28 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 15.02 lakh contracts in open interest, and 12,000, which has accumulated 14.25 lakh contracts in open interest.

Significant call writing was seen at the 11,900 strike price, which added 1.77 lakh contracts, followed by 12,400 strike price that added 1.29 lakh contracts and 12,300 strike price, which added 1.12 lakh contracts.

Call unwinding was witnessed at 12,000 strike price, which shed 2.78 lakh contracts, followed by 11,700 which shed 2.28 lakh contracts.

Image 1

Put options data

Maximum put open interest of 24.38 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 21.42 lakh contracts in open interest, and 11,700 strike price, which has accumulated 17.91 lakh contracts in open interest.

Put writing was seen at the 11,900 strike price, which added 6.54 lakh contracts, followed by 11,600 strike, which added 2.93 lakh contracts.

Put unwinding was seen at 12,200 strike price, which shed 84,375 contracts.

Image 2

Stocks with a high delivery percentage

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

High delivery

71 stocks saw long build-up

Based on open interest (OI) future percentage, here are the top 10 stocks in which long build-up was seen.

Long buildup

8 stocks saw long unwinding

Long unwinding

11 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

53 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.

Short covering

Bulk deals

Bulk Deals

(For more bulk deals, click here)

Quarterly earnings

Adani Enterprises, Adani Gas, Adlabs Entertainment, Ajanta Pharma, Andhra Bank, Apollo Tyres, Avadh Sugar & Energy, Berger Paints, Bosch, Brigade Enterprises, Cadila Healthcare, Cipla, Divi's Laboratories, DLF, Hindustan Petroleum Corporation and Indiabulls Housing Finance are among the companies that will release their quarterly earnings on February 5.

Stocks in the news

Bharti Airtel: Q3 loss at Rs 1,035 crore versus loss of Rs 23,044.9 cr, revenue rises 3.9 percent to Rs 21,947 cr QoQ.

Tata Global Beverages: Q3 profit jumps 21.4 percent to Rs 120.6 cr, revenue rises 2.6 percent to Rs 1,961.9 cr YoY.

IFCI: IFCI completed the stake sale of NSE and further received an amount of approximately Rs 178.65 cr.

Cadila Healthcare: US FDA clears subsidiary's Ahmedabad unit with no observation.

Sun Pharma: Company launched Absorica LD capsules in US for acne.

FII and DII data

Foreign institutional investors (FIIs) bought shares worth Rs 366.21 crore, while domestic institutional investors (DIIs), too, bought shares of worth Rs 601.86 crore in the Indian equity market on February 4, provisional data available on the NSE showed.

Fund flow

Fund flow

Stock under F&O ban on NSE

No security is under the F&O ban for February 5. 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.

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First Published on Feb 4, 2020 09:17 pm
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