Nifty to open gap down led by weak Asian cues: ICICIdirect

ICICIdirect's Derivative Report:

Nifty

The Nifty continued to trade with a positive bias with stock specific activity. It finally ended after adding another 30 points. Nifty futures settled at a premium of 22 points. India VIX rose 0.6 percent and ended at 11.6.

FIIs bought Rs 340 crore while DIIs sold Rs 194 crore in the cash segment. FIIs bought Rs 635 crore in index futures and sold Rs 98 crore in index options. In stock futures, they sold Rs 292 crore.

The highest Put base is at the 9000 strike with 58 lakh shares while the highest Call base is at the 9500 strike with 44 lakh shares. The 9400 and 9500 Call strikes saw additions of 3.9 and 4.9 lakh shares, respectively, while 9000 and 9100 Put strikes saw additions of 8.8 and 6.7 lakh shares, respectively.

Nifty Bank

As RBI’s monetary policy is slated today, we may see a spike in volatility in the first half. However, if the policy is not negative then the index is likely to test 21800 on the upside in coming days. The intermediate support is placed near 21400.

Nifty Future: The Nifty is likely to open gap down on the back of weak Asian cues. Sell Nifty in the range of 9280-9290 for targets of 9230-9210, stop loss: 9310.

Nifty Bank Future: As RBI’s monetary policy is slated today, we may see a spike in volatility in the first half. However, if the policy is not negative then the index is likely to test 21800 on the upside in coming days. The intermediate support is placed near 21400. Buy Nifty Bank in the range of 21400-21450, targets: 21550-21650, stop loss: 21330.

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