Moneycontrol
Feb 14, 2018 07:18 PM IST | Source: Moneycontrol.com

Trade setup for Wednesday: Top 15 things you should know before Opening Bell

According to Pivot charts, the key support level is placed at 10,498.3, followed by 10,456.8. If the index starts to move higher, key resistance levels to watch out are 10,568.4 and 10,597.


After a 3 percent drop in the previous week, bulls managed to regain control of D-Street on Monday with Nifty50 rising above 10,500. The index formed a small bullish candle on the daily candlestick charts which suggest that the rally could extend towards 10,700.

Investors are advised to stay cautious but technical indicators are suggesting that the pullback move could extend by another couple of trading sessions. The index closed below its key short-term moving averages such as 50-days exponential moving average (DEMA), and 5-DEMA.

The Nifty50 which opened at 10,518.20 rose to an intraday high of 10,555.50. It slipped marginally to hit an intraday low of 10,485.40 before closing 84 points higher at 10,539.75.

“Albeit Nifty50 registered a small bullish candle it appears to be on a pullback mode after testing its 100-Days Moving average (DMA) in the preceding two trading sessions of last week,” Mazhar Mohammad, Chief Strategist – Technical Research & Trading Advisory, Chartviewindia.in told Moneycontrol.

“As momentum oscillators are slowly turning into the positive zone thereby generating buy signals on lower time frame charts ideally this rally should get extended for a couple of trading sessions unless there is going to be a shift of sentiment in global markets once again on the negative side,” he said.

Momentum in the index shall get accelerated once it sustains above 10,636 levels. In such a scenario it should test the gap zone of 10,702 – 10,736 registered on 5th February but bigger rally should be expected only on a close above 10,736. For time being, Mohammad advises traders to put a stop below 10398 levels on a closing basis and ride this up move.

We have collated the top fifteen data points to help you spot profitable trade:

Key Support & Resistance Level for Nifty:

The Nifty closed at 10,539.75 on Monday. According to Pivot charts, the key support level is placed at 10,498.3, followed by 10,456.8. If the index starts to move higher, key resistance levels to watch out are 10,568.4 and 10,597.

Nifty Bank:

The Nifty Bank closed at 25,701.60, up 0.93 percent. Important Pivot level, which will act as crucial support for the index, is placed at 25,538.73, followed by 25,375.87. On the upside, key resistance levels are placed at 25,811.13, followed by 25,920.67.

Call Options Data:

Maximum call open interest (OI) of 56.96 lakh contracts stands at strike price 11,100, which will be a resistance for the February series, followed by 11,000, which now holds 52.85 lakh contracts in open interest, and 10,700, which has accumulated 38.63 lakh contracts in OI.

Call writing was seen at the strike price of 10,600, which saw the addition of 2.7 lakh contracts along with 10,700, which added 1.54 lakh contracts, along with 10,900, which saw the addition of 0.72 lakh contracts.

Call unwinding was seen at the strike of 10,400, which shed 2.89 lakh contracts and 10,500, which shed 2.57 lakh contracts.

Image61222018

Put Options Data:

Maximum put OI of 54.76 lakh contracts was seen at strike price 10,000, which will act as a crucial base for February series, followed by 10,500, which now holds 53.94 lakh contracts and 10,400 which has now accumulated 42.66 lakh contracts in open interest.

Maximum Put writing was seen at the strike price of 10,500, which saw the addition of 2.46 lakh contracts, followed by 10,400, which added 2.39 lakh contracts and 10,300, which added 1.79 lakh contracts.

Put unwinding was seen at 10,000, which shed 2.83 lakh contracts, followed by 10,200, which shed 1.59 lakh contracts and 10,100, which shed 1.37 lakh contracts.

Image71222018

FII & DII Data:

Foreign institutional investors (FIIs) have net sold shares worth Rs 814.11 crore, while domestic institutional investors (DIIs) bought shares worth Rs 1,342.7 crore in the Indian equity market on Monday, 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 the delivery of the stock, which means that investors are bullish on the stock.

Image81222018

96 stocks saw long build-up:

Image91222018

76 stocks saw short covering:

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

Image101222018

32 stocks saw short build-up:

An increase in open interest along with a decrease in price mostly indicates short positions being built up.

Image111222018

6 stocks saw long unwinding:

Long unwinding happens when there is a decrease in OI as well as in price.

Image121222018

Bulk Deals:

Cerebra Int Tech Ltd: Yogeshkumar Dalpatbhai Dhabuwala bought 7,09,681 shares at Rs 60.08 per share

Vivimed Labs Limited: Hemant Navinchandra Shah sold 4,50,000 shares at Rs 87.50 per share

Religare Enterprises: Merlin Marketing Private Limited sold 1,000,000 shares at Rs 52.35 per share

(For more bulk deals click here)

Analyst or Board Meets/Briefings:

Minda Industries: The Board of Directors approved and declared the interim dividend at 60 percent i.e. Rs. 1.20 per share on 8,64,18,905 equity shares of the Company, on the face value of Rs 2 each.

ITD Cementation India Ltd: A meeting of the Board of Directors of the Company will be held on February 22, 2018, to consider and approve the audited financial results for the quarter and year ended December 31, 2017 and recommend dividend, if any.

Stocks in news:

TVS Motor Company Ltd: The company has fixed March 7, 2018 as the record date for the purpose of payment of second interim dividend, if declared.

Oil & Natural Gas Corporation Ltd: The record date of February 20, 2018, notified earlier stands withdrawn in view of the proposal for the payment of second interim dividend is deferred by the Board of Directors at the meeting held on February 9, 2018.

NBCC (India) Ltd: The company has fixed March 16, 2018 as the record date for the purpose of payment of interim dividend, if any and has recommended splitting of the company's equity shares of Rs 2 each into two equity shares of face value of Re 1 each subject to the approval of shareholders.

Linde India Ltd: The Board of Directors of the Company at its meeting held on February 12, 2018 has recommended a dividend of 10  percent on 85,284,223 fully paid up equity shares of Rs 10 each for the year ended December 31, 2017.

Welspun India Q3 net falls 47.07 percent to Rs 79.51 crore

NTPC bags order to supply 300 MW electricity to Bangladesh

Max Life favourite to acquire IDBI Federal Life Insurance

Fortis seeks 15-day extension to declare Q2, Q3 results

Puravankara looking to create up to Rs 2,000 crore realty fund

India cuts stent prices by more than 7percent

JK Tyre Q3 net profit dips 87 percent to Rs 11 crore

IOB Q3 net loss widens to Rs 971 crore as NPA pinches

Taj Group posts Q3 profit of Rs 108 crore

Welspun India Q3 net falls 47 percent to Rs 79.51 crore

Godfrey Phillips Q3 net up 61 percent at Rs 61.99 crore

SAIL is inviting expression of interest for disinvestment in alloy steel plants at Durgapur

Reliance Comm to convene meeting on March 6 of holders of $300mn bonds due 2020

JK Tyre approves raising Rs 1000cr via private placement

Surya Roshni - Demerger of the two business verticals of the company

Indoco Remedies’ Goa plant gets 8 observations under form 483 from U.S. FDA.

Precision Camshafts receives multiple orders worth Rs 275 crore

Idea Cellular raises Rs 3,250 crore through preferential allotment to promoters

5 stocks under ban period on NSE

Security in ban period for the next trade date under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.

The security which are banned for trading are Balrampur Chini, Dish TV, GMR Infra, HDIL and Jain Irrigation, etc.
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