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Wednesday, 18 April 2012

Derivatives Daily Update: April 18 2012


Day of Consolidation: April 18, 2012

Nifty April Futures closed flat at 5322.70 mildly up by 3.1 points. Bank Nifty closed at 10546.25 down by 27.1 points. Volumes were lower than yesterday at Rs 1.04 trillion. Open interest across all the series in Nifty was up by 8.78 lakh shares at 2.22 Cr shares. Put Call Ratio was up at 1.01. Volatility as measured by India VIX was down to 20.03 and Dollar Rupee Duo was up at 51.79. All in all it was a day of consolidation and Nifty traded in a very narrow band of 50 points.

In my opinion, I still hold my Bullish stance as soon as Nifty remains above 5150 level. Buy in every dip till we breach 5150. Add more to your long positions once it closes above 5338(cash Nifty) with price target of 5550 to 5600.

Top five individual stocks which gained today were BHUSANSTL 8%, GVKPIL 8%, SUNTV 7%, NCC 6% and IGL 5%.

Top five individual stocks which lost ground were IVRCLINFRA -7%, EXIDEIND -5$, NAGAROIL -4%, IDEA -4% and ALSTOMT&D -3%.

Top five individual stocks which attracted higher volumes were SBIN, TATAMOTORS, ICICIBANK, RELIANCE and TATASTEEL.

Top five individual options which attracted higher activity today were INFY 2500 CE, INFY 2400 CE, SBIN 2400 CE, SBIN 2300 CE and SBIN 2350 CE.
Nifty option series where POSITIVE change in open interest was seen were 5400 CE (5.57 LK) 5500 CE (2.61 LK) 5600 CE (3.93 LK) 4800 PE (2.90 LK) 5000 PE (3.57 LK) 5200 PE (6.89 LK) 5300 PE (6.55 LK) 5400 PE (6.79 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5100 CE (1.26 LK) 5200 CE (2.51 LK) 5300 CE (1.16 LK) 5800 CE (1.21 LK) 4900 PE (10 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.63 Cr shares and that of Put Options stood at 3.80 Cr shares. Outstanding open interest in In the Money Call Options stood at 99.89 LK shares and that of Put Options stood at 53.30 LK shares. Put Call Ratio of current series alone stands at 1.32.

Happy Trading

Atul Doshi

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