Nifty to open flat led by mixed global cues: ICICIdirect

ICICIdirect's Derivative Report:

Nifty

The Nifty ended the week on an optimistic note well above 9100. Auto and IT saw some selling whereas banking, metals and FMCG supported well. Nifty futures settled at a premium of 10 points. India VIX rose 1.2 percent and ended at 12.

FIIs bought Rs 545 crore while DIIs bought Rs 117 crore in the cash segment. FIIs sold Rs 317 crore in index futures and bought Rs 714 crore in index options. In stock futures, they sold Rs 81 crore.

The highest Put base is at the 8800 strike with 54 lakh shares while the highest Call base is at the 9200 strike with 66 lakh shares. The 9200 Call strikes saw additions of 5.6 lakh shares, while 9200 and 9100 Put strikes saw additions of 0.8 and 6.5 lakh shares, respectively.

Nifty Bank

PSU banks saw a sharp move where the index itself rose around 4 percent on the back of aggressive short covering before the expiry. Few private sector banks also supported the move. As we have approached the expiry week, there may be a trigger in volatility. However, we continue to feel that the recent low is likely to act as a support.

Nifty Future: The Nifty is likely to open flat on the back of mixed global cues. Sell Nifty in the range of 9130-9140 for targets of 9080-9060, stop loss: 9160.

Nifty Bank Future: PSU banks saw a sharp move where the index itself rose around 4 percent on the back of aggressive short covering before the expiry. Few private sector banks also supported the move. As we have approached the expiry week, there may be a trigger in volatility. However, we continue to feel that the recent low is likely to act as a support. Buy Nifty Bank in the range of 21000-21050, targets: 21150-21250, stop loss: 20920.

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