Derivatives Daily Update: June 29 2012

Breakout Day: June 29, 2012

Nifty July series opened with a bang and closed at 5297.35 up by 146.6 points. Bank Nifty closed at 10346.25 up by 334.25 points. Open Interest in Nifty across all the series saw an increase of 35 lakh shares at 2.29 Cr shares. Turnover was pegged at Rs 1.03 trillion obviously not comparable with yesterday as it was last day of the June series. Put Call Ratio on consolidated series was at 1.08. Dollar Rupee pair was trading at 56.05 much lower than yesterday and Volatility as measured by India VIX was down by 7% at 19.08. In all it was a day of Bulls as we saw built up in positions.

Finally Nifty managed to break the range of 5050-5200 on the very first day of July series and that too with gap up opening and closing near the day’s high. It was a resilient move and we have finally broken off the stiff resistance of 5230. My stance will change from bearish to bullish once it moves above 5300 and close above the same. Level of 5302 is 0.618 retracement of last move (5630-4770) and once we close above this level bearish trend will construed to be over and every dip will be an opportunity to buy. Wait for one more day if you have not ventured a bull trade.

Top five individual stocks which gained today were NCC 13%, OFSS 9%, GMRINFRA 9%, JINDALSTEL 8% and LITL 8%.

Top five individual stocks which lost ground were ONMOBILE -9%, CAIRN -6%, GMDC -1%, BPCL -1% and EDUCOMP -1%.

Top five individual stocks which attracted higher volumes were SBIN, CAIRN, ICICIBANK, AXISBANK and TATAMOTORS.

Top five individual options which attracted higher activity today were SBIN 2200CE, CAIRN 320CE, SBIN 2100PE, ICICIBANK 900CE and SBIN 2100CE.

Nifty option series where POSITIVE change in open interest was seen were 5400CE(18.50 LK) 5500CE(9.27 LK) 5600CE(7.64 LK) 5700CE(12.13 LK0 5900CE(1 LK) 4800PE(17.39 LK) 4900PE(3.75 LK) 5000PE(4.65 LK) 5100PE(4.14 LK) 5200PE(22.19 LK) 5300PE(11.38 LK) 5400PE(6.66 LK) 5500PE(1.66 LK).

Nifty option series where NEGATIVE change in open interest was seen were 4900CE(2.32 LK) 5100CE(3.37 LK) 5200CE(3.97 LK) 4600PE(1.06 LK)

Outstanding open interest in Out of the Money Call Options stood at 1.85 Cr shares and that of Put Options stood at 3.68 Cr shares. Outstanding open interest in In the Money Call Options stood at 92.64 LK shares and that of Put Options stood at 55.68 LK shares. Put Call Ratio of current series alone stands at 1.53

Happy Trading

Atul Doshi

Derivatives Daily Update: June 28 2012

Stable Expiry: June 28, 2012

Nifty closed at 5150.75 up by 11.10 points. Bank Nifty closed at 10012.30 up by 13.05 points. Open Interest on consolidated basis was up by 9 lakh shares which is irrelevant as it includes series which has ended. Open Interest in Nifty for August series was up by 48 lakh shares at 1.81 Cr shares. Turnover was higher at Rs 2.13 trillion largely due to roll over activity. Put Call Ratio was at 1.29. Volatility as measured by India VIX was marginally up by 1% at 20.62 and Dollar Rupee was almost unchanged at 57.20. In all it was a stable expiry and strictly traded in a range of 40 points.

We will have to watch for a break out signal in August expiry. In my opinion we are trading in a very narrow range of 5000-5200 from last 15 trading days and this range will be broken in first week of new expiry. Initiate trading positions on either side of break out. Till that time trade the range on intra day basis. For those who have rolled over bearish trading position can continue the same with stop above 5230. For those who have bullish roll over can continue to hold till 5050.

Top five individual stocks which gained today were ABAN 9%, ROLTA 4%, EDUCOMP 4%, INDHOTEL 3% and CENTUREYTEX 3%.

Top five individual stocks which lost ground were ONMOBILE -18%, SOBHA -5%, BRFL -5%, RUCHISOYA -4% and JPPOWER -4%.

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

Top five individual options which attracted higher activity today were SBIN 2100CE, SBIN 2100PE, SBIN 2050PE, INFY 2500CE and TATAMOTORS 240CE.

Nifty option series where POSITIVE change in open interest was seen were 4400CE (44.55 LK) 4300PE (60.85 LK)

Nifty option series where NEGATIVE change in open interest was seen were 3700CE (1.10 LK) 4000CE (1.67 LK) 4100CE (2.95 LK) 4200CE (4.12 LK) 4300CE (26.96 LK) 4100PE (1.38 LK) 4200PE (1.93 LK) 4400PE (14.04 LK) 4500PE (1.77 LK) 4700PE (1.80 LK) 5200PE (1.95 LK)

Outstanding open interest in Out of the Money Call Options stood at 6.80 LK shares and that of Put Options stood at 6.35 Cr shares. Outstanding open interest in In the Money Call Options stood at 3.01 CR shares and that of Put Options stood at 1.43 LK shares. Put Call Ratio of current series alone stands at 2.07

Happy Trading

Atul Doshi       

Derivatives Update: June 27 2012

Listless Day: June 27, 2012

Nifty June futures closed higher by 13.95 points at 5139.65 amidst lower activity. Bank Nifty closed higher by 30.2 points at 9999.25. Open Interest in Nifty across all the series saw marginal upward revision by 82 k shares at 2.72 Cr shares. Turnover was lower at Rs 1.48 trillion notwithstanding couple of days to expiry indicating lower activity in the market. Put Call Ratio on consolidated basis for both Index & Stock Options shot up to 1.17 and that for Nifty alone for current series it shot up to 1.94. Volatility as measured by India VIX was pegged at 20.40 almost unchanged and Dollar Rupee pair was trading marginally higher at 57.2. In all it was a listless day ahead of expiry.

Once again Nifty was trading in very narrow band of just 50 points. Such narrow activity can not continue for too long and in coming days we will see this band 0f 5050-5200 be broken on either side. As long as Nifty is trading in this range, it is advisable for positional traders to avoid the trade. As such also tomorrow is expiry day of current series so let us see how it ends. Positional Bulls should built up positions once it clears hurdle of 5230. In my opinion, unless Nifty trades above 5230 it is advisable to short Nifty at every rise with potential stop loss at 5230.

Top five individual stocks which gained today were JSWENERGY 6%, NAGAROIL 6%, TTML 6%, POLARIS 5% and PFC 5%.

Top five individual stocks which lost ground were ANDHRABANK -7%, TATAMTRDVR -3%, TATAMOTORS -3%, EDUCOMP -3% and ABGSHIP -2%.

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

Top five individual options which attracted higher activity today were SBIN 2100PE, SBIN 2150CE, SBIN 2100CE, SBIN 2200CE and TATAMOTORS 240PE.

Nifty option series where POSITIVE change in open interest was seen were 5100PE (8.11 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900CE (1.74 LK) 5000CE (2.61 LK) 5100CE (5.56 LK) 5300CE (4.75 LK) 5400CE (1.58 LK) 4700PE (1.65 LK) 4800PE (1.41 LK) 4900 PE (8.53 LK) 5200PE (5.57 LK) 5400PE (1.19 LK) 6000PE (1.06 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.18 Cr shares and that of Put Options stood at 5.73 Cr shares. Outstanding open interest in In the Money Call Options stood at 98.16 LK shares and that of Put Options stood at 40.27 LK shares. Put Call Ratio of current series alone stands at 1.94.

Happy Trading

Atul Doshi       

Derivatives Daily Update: June 26 2012

Range bound Day: June 26, 2012

Nifty June futures closed at 5125.70 up by 16 points. Bank Nifty closed at9969.05 up by 67.55 points. Open Interest in Nifty across all the series saw an up tick 13.52 lakh shares at 2.71 Cr shares. Turnover was slightly lower at Rs 1.57 trillion in spite of carryover activity. Put Call Ratio came down to 0.97 on consolidated basis for both Index & Stock Options though for Nifty alone in current series was up at 1.86. Volatility as measured by India VIX was down by 6% at 20.23 and Dollar Rupee pair was trading almost unchanged at 57.03. In all it was a day of range bound movement largely supported by carry over activity.

In my opinion as said in several posts, we are trading in a range of 5050-5200. Traders are watching this range to be broken on either side to take positions. As long as Nifty is not able to close above 5230, an important retracement level, it is advisable to short the same. We are nearing the expiry so it is advisable to watch the market and take positions only in new series.

Top five individual stocks which gained today were SREINFRA, TATAGLOBAL, UNIPHOS, DIVISLAB and FINANTECH.

Top five individual stocks which lost ground were ESSAROIL -3%, JSWENERGY -3%, NAGAROIL -2%, SAIL -2% and SAIL -2%.

Top five individual stocks which attracted higher volumes were SBIN, TATASTEEL, ICICIBANK, AXISBANK and LT.

Top five individual options which attracted higher activity today were SBIN 2100PE, SBIN 2150CE, SBIN 2200CE, SBIN 2100CE and SBIN 2050PE.

Nifty option series where POSITIVE change in open interest was seen were 5200CE (1.04 LK) 4800PE (1.39 LK) 4900PE (2.78 LK) 5000PE (1.07 LK) 5100PE (7.90 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4800CE (2.02 LK) 4900CE (2.45 LK) 5300CE (8.47 LK) 5400CE (2.66 LK) 4700PE (1.51 LK) 5200PE (4.05 LK) 6000PE (1.10 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.27 Cr shares and that of Put Options stood at 5.77 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.10 CR shares and that of Put Options stood at 50.71 LK shares. Put Call Ratio of current series alone stands at 1.86

Happy Trading

Atul Doshi       

Derivatives Daily Update: June 25 2012

Day of Sell off: June 25, 2012

Nifty June Futures closed lower by 41.85 points at 5109.30. Bank Nifty closed lower by 130.25 points at 9901.50. Open Interest in Nifty across all the series shot up by 27 lakh shares indicating fresh shorts have been created in the market. Turnover was at Rs 1.76 trillion up from yesterday’s level. Put Call Ratio for both Index & Stock Options was pegged at 1.04 marginally down from yesterday’s level and for Nifty alone for current series it was down to 1.72 from 1.82 levels. Volatility as measured by India VIX shot up by 5% as market witnessed choppiness with downward bias. Dollar Rupee pair was trading at 57.02 marginally down from yesterday’s level. All in all day can be termed as sell off day.

As said earlier, Nifty is trading in range of 5050-5200. Today also we saw the repetition of the same price behavior. Nifty is pushing hard to break 5200 level but has again failed today. I continue with my bearish stance on the market. Unless & until Nifty breaks 5200 decisively and closes above the level of 5230 fro consecutively couple of days, it is advisable for positional traders to remain short in the market. Day traders will have to satisfy them by trading the range of 5050-5200.

Top five individual stocks which gained today were EDUCOMP 5%, SUNTV 4%, JINDALSAW 3%, SOBHA 3% and GSPL 3%.

Top five individual stocks which lost ground were HINDOILEXP -5%, INDIANB -4%, ADANIENT -4%, RPOWER -3% and SKUMARSYNF -3%.

Top five individual stocks which attracted higher volumes were SBIN, TATASTEEL, ICICIBANK, HDIL and AXISBANK.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2100PE, SBIN 2250CE, SBIN 2150CE and SBIN 2300CE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (5.71 LK) 5200CE (20.57 LK) 5300CE (1.74 LK) 5000PE (3.12 LK) 5100PE (1.91 LK) 5200PE (4.15 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900CE (1.24 LK) 5000CE (1.04 LK0 5400CE (1.55 LK) 4900PE (4.42 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.47 Cr shares and that of Put Options stood at 5.81 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.25 Cr shares and that of Put Options stood at 58.51 LK shares. Put Call Ratio of current series alone stands at1.72.

Happy Trading

Atul Doshi

Derivatives Daily Update: June 22 2012

Consolidation Day: June 22, 2012

Nifty June futures closed at 5151.15 mildly lower by 22.7 points. Bank Nifty closed at 10031.75 marginally lower by 4.95 points. Open Interest in Nifty across all the series was up by 3.37 lakh shares at 2.31 Cr shares. Turnover was up at Rs 1.64 trillion partly due to carry over activity. Put Call Ratio for both Index and Stock Options on a consolidated basis across all the series was 1.07 down from yesterday’s level though for Nifty alone for current series it was high at 1.82. Volatility as measured by India VIX improved by 3% at 20.58 and Dollar Rupee Duo too was trading up at 57.29 putting pressure on markets. In all it was a day of consolidation.

Nifty is trading in a broad range of 5050 to 5200. Data still indicates mixed sentiment and traders are watching for breakout signals which might come when Nifty is able to break range on either side. For positional traders, it is advisable to enter the bull trade only when it breaks 5230. Short term traders can continue to hold their long with stop below 5070 and price target of 5220.

Top five individual stocks which gained today were INDIAINFO 7%, INDHOTEL 6%, FINANTECH 5%, RENUKA 5% and NAGAROIL 5%.

Top five individual stocks which lost ground were NCC -5%, JPASSOCIAT -5%, JUBLFOOD -4%, VIJAYABANK -3% and HINDALCO -3%.

Top five individual stocks which attracted higher volumes were SBIN, HDIL, TATAMOTORS, ICICIBANK and DLF.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2100PE, SBIN 2150CE, SBIN 2150PE and SBIN 2250CE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (1.90 LK) 4800PE (2.80 LK) 4900PE (12.74 LK) 5000PE (1.16 LK) 5100PE (2.54 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900CE (-2.76 LK) 5200CE (-7.27 LK) 5300CE (-6.50 LK) 4600PE (-1.25 LK) 4700PE (-1.55 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.28 Cr shares and that of Put Options stood at 5.82 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.24 Cr shares and that of Put Options stood at 55.98 shares. Put Call Ratio of current series alone stands at 1.82.

Happy Trading

Atul Doshi

Derivatives Daily Update: June 21 2012

Smart Up Day: June 21, 2012

Nifty June Futures closed up by 51.4 points at 5173.85. Bank Nifty closed up by 221.15 points at 10036.70. Open Interest in Nifty on consolidated basis across all the series was up by 18 lakh shares at 2.28 Cr shares indicating Bulls have mopped up positions in market. Turnover was up at Rs 1.40 trillion. Put Call Ratio across all the series for both Index and Stock Options was down to 1.14 and for Nifty alone for current series was up at 1.69 implying participants are confident about markets moving up. Volatility as measured by India VIX was down by 5% at 19.94. Dollar Rupee pair was trading higher at 56.49. In all it was another smart day where Nifty closed in positive zone.

It seems undertone is becoming strong. Nifty is taking support at its long term moving average of 5070 and every attempt to break that level is met with fresh buying. Notwithstanding the strength, I would still like to see Nifty closing above 5228 to change my stance from bearish to bullish. Though in extremely short term, those who want to punt on Bull side are advised to keep strict stop loss below 5070.  Positional traders can take Bullish positions only when Nifty closes above 5228 decisively.

Top five individual stocks which gained today were ONMOBILE 13%, NCC 10%, HDIL 8%, HINDOILEXP 8% and PETRONET 5%.

Top five individual stocks which lost ground were IOB -4%, JUBLFOOD -3%, INDIACEM -3%, RELIANCE -3% and CAIRN -2%.

Top five individual stocks which attracted higher volumes were SBIN, ICICIBANK, RELIANCE, HDIL and BHEL.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2100PE,  SBIN 2100CE, SBIN 2150CE and SBIN 2000PE.

Nifty option series where POSITIVE change in open interest was seen were 5200CE (5.04 LK) 5300CE (2.01 LK) 5000PE (1.73 LK) 5100PE (8.68 LK) 5200PE (11.50 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900CE (1.46 LK) 5000CE (3.34 LK) 5100CE (9.66 LK) 4300PE (1.06 LK) 4400PE (1.03 LK0 4500PE (2.25 LK) 4600PE (2.64 LK) 4800PE (3.05 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.45 Cr shares and that of Put Options stood at 5.74 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.29 CR shares and that of Put Options stood at 58.66 LK shares. Put Call Ratio of current series alone stands at 1.69

Happy Trading

Atul Doshi

Derivatives Daily Update: June 20 2012

Resilient Day: June 20, 2012

Nifty June Futures closed at 5122.45 up by 11.85 points. Bank Nifty closed at 9815.55 marginally up by 36 points. Open Interest in Nifty across all the series on consolidated basis was up by 5 lakh shares at 2.10 Cr shares indicating Bulls are mopping up positions.. Volume was lower than yesterday at Rs 1.18 trillion. Put Call ratio for both Index and Stock Options on consolidated basis was up to 1.21 though it came down to 1.61 from 1.67 for the current series of Nifty alone. Volatility as measured by India VIX was down by 2% at 21.03. Dollar Rupee pair was trading on higher side at 56.10. In all it was a resilient day with little volatility and choppiness.

As said yesterday, we are trading in a narrow range. My opinion has though not changed and I feel that as long as we remain below 5228 every rise is an opportunity to sell for positional traders. For extremely short term trader and for those who want to punt on bull side, it is advisable to buy with a strict stop below 5070 as it being 50 DMA as well as 200 DMA. Once we break this level exit from longs and probably go short if it closes below this level. For bears continue with your shorts with stop above 5230.

Top five individual stocks which gained today were EDUCOMP 11%, HINDOILEXP 7%, SINTEX 5%, LITL 5% and NCC 5%.

Top five individual stocks which lost ground were TCS -2%, SOUTHBANK -2%, ULTRACEMCO -1% BHARTIARTL -1% and DLF -1%.

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

Top five individual options which attracted higher activity today were SBIN 2100PE, SBIN 2200CE, SBIN 2100CE, SBIN 2000PE and SBIN 2150CE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (2 LK) 5200CE (5.54 LK) 5300CE (17.71 LK) 4600PE (1.47 LK) 4800PE (4.19 LK) 4900PE ( 2.49 LK) 5000PE (14.91 LK) 5100PE (10.21 LK) 5200PE (5.56 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5000CE (-1.71 LK) 4400PE (-5.42 LK) 4500 PE (-6.83 LK) 4700PE (-12.45 LK)

Outstanding open interest in Out of the Money Call Options (JUNE) stood at 2.43 Cr shares and that of Put Options stood at 5.80 Cr shares. Outstanding open interest in In the Money Call Options (JUNE) stood at 1.46 Cr shares and that of Put Options stood at 47.71 LK shares. Put Call Ratio of JUNE series alone stands at 1.61

Happy Trading

Atul Doshi

Derivatives Daily Date: June 19 2012

An Up Day: June 19, 2012

Nifty June Futures closed higher by 51.80 points at 5110.60. Bank Nifty too closed higher though marginally up by 72.05 points at 9779.55. Open Interest in Nifty across all the series for both Index & Stock Options was up by 6.20 lakh shares at 2.05 Cr shares. Turnover was lower at Rs 1.52 trillion. Put Call Ratio has remained almost unchanged at 1.09 though for current series for Nifty alone was 1.68 up from 1.63 levels. Volatility as measured by India VIX was lower by 5 % at 21.43. Dollar Rupee duo was trading at 56.04 with slight upward bias. In all it was a up day with Bulls adding positions in the market.

Nifty is broadly trading in a range with one day up and other day down. In my opinion as long as we are not able to comfortably trade above 5228, every rise is an opportunity to sell for positional traders. For short term traders who want to punt on Bull side can buy with stop loss at 5070 which coincides with both 50 DMA as well as 200 DMA. As and when we fall below 5070 and close below that we might se lower levels.

Top five individual stocks which gained today were HINDPETRO 6%, GVKPIL 5%, FINANTECH 5%, JSWISPAT 4% and NCC 4%.

Top five individual stocks which lost ground were ONMOBILE -6%, GODREJIND -3%, TATACOMM -3%, APOLLOTYRE -3% and SESAGOA -3%.

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

Top five individual options which attracted higher activity today were SBIN 2100CE, SBIN 2100PE, SBIN 2050PE, SBIN 2200CE and SBIN 2000PE

Nifty option series where POSITIVE change in open interest was seen were 5100CE (5.57 LK) 5200CE (3.87 LK) 5300CE (6.75 LK) 4800PE (2 LK) 4900PE (4.19 LK) 5000PE (3.96 LK) 5100PE (9.56 LK) 5200PE (1.58 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5000CE (-5.41 LK) 4500PE (-1.61 LK) 4600PE (2.39 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.19 Cr shares and that of Put Options stood at 5.73 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.47 Cr shares and that of Put Options stood at 42 LK shares. Put Call Ratio of current series alone stands at 1.68

Happy Trading

Atul Doshi

Derivatives Daily Update: June 18 2012

Downward Journey Continues: June 18, 2012

Nifty June Futures closed lower at 5058.80 down by 88.90 points. Bank Nifty closed at 9707.50 down by 353.35 points. Open Interest in Nifty across all the series was up by 3.60 lakh shares at 1.99 Cr shares. Turnover was smartly up to Rs 1.92 trillion. Put Call Ratio across all the series and for both Index & Stock Option was 1.1 up from 0.97 though it was down to 1.64 from 1.77 in June series of Nifty alone. Volatility as measured by India VIX was surprisingly down to 22.60 by 12%. Dollar Rupee pair was trading higher at 56.01 putting pressure on Rupee. In all it was a down day as expectation from RBI policy was belied.

In my opinion correction which started couple of days back was finally over today and downward journey has again resumed. As said yesterday if we see the higher levels not sustaining, it is an opportunity to sell in the market and exactly that has what has happened today. Level of 5228 is becoming strong resistance zone and my advice to Bulls is to enter the market only when it crosses this level or some meaningful bottom between 4800-4500 is being formed. Till that time every rise in price is an opportunity to sell.

Top five individual stocks which gained today were INDIAINFO 2%, EDUCOMP 2%, ABAN 2%, GMRINFRA 2% and SOBHA 1%.

Top five individual stocks which lost ground were SKUMARSYNF -8%, ADANIENT -6%, BGRENERGY -6%, IRB -5% and UCOBANK -5%.

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

Top five individual options which attracted higher activity today were SBIN 2100CE, SBIN 2200CE, SBIN 2300CE, SBIN 2000PE and SBIN 2250CE.

Nifty option series where POSITIVE change in open interest was seen were 5000CE (4.22 LK) 5100CE (2.27 LK) 5200CE (7.74 LK) 5300CE (9.24 LK) 5500CE (2.94 LK) 4300PE (1.36 LK) 4700PE (11.50 LK) 4800PE (3.37 LK) 4900PE (6.42 LK) 5000PE (1.62 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900CE (-3.22 LK) 5400CE (-2.19 LK) 5600CE (-1.16 LK) 4000PE (-1.17 LK) 4500PE (2.44 LK) 4600PE (-22.75 LK) 5100PE (-6.78 LK) 5200PE (-5.99 LK) 5300PE (-1.12 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.75 Cr shares and that of Put Options stood at 5.33 Cr shares. Outstanding open interest in In the Money Call Options stood at 96.41 LK shares and that of Put Options stood at 74.27 LK shares. Put Call Ratio of current series alone stands at 1.64

Happy Trading

Atul Doshi

Derivatives Daily update: June 15 2012

An Up Day: June 15, 2012

Nifty June Futures closed smartly up by 93.60 points at 5147.70. Bank Nifty too closed higher by 226.60 points at 10060.85. Open Interest in Nifty across all the series was smartly up by 11 lakh shares at 1.95 Cr shares indicating mopping up of positions by Bulls. Turnover was stable at Rs 1.02 trillion. Put Call Ratio for both Index and Stock Options across all the series on consolidated basis was at 0.97 slightly down from yesterday’s level though it was trading better at 1.77 for June series of Nifty alone. Volatility as measured by India VIX was down by 1% at 25.54 and Dollar Rupee pair too was trading lower at 55.60 easing pressure on Rupee which in turn helped the sentiment.

Those who were short yesterday must have covered up their shorts as Nifty breached 5140 level and even closed at the same rate. Monday is an eventful day as RBI will declare its monetary policy as well as globally result of Greek’s election will be out. Wait for the events to be over as we have closed near crucial technical resistance. If it trades and closes above 5140 than 5228 is in the offing and it might touch that level too. I am still biased towards markets going down and hence when you see the above mentioned level not sustaining, venture a short in the market.

Top five individual stocks which gained today were INDIACEM 7%, SREINFRA 6%, GRASIM 6%, TATAMOTORS 6% and IBREALEST 4%.

Top five individual stocks which lost ground were ONMOBILE -2%, STER -2%, UCOBANK -2%, CESC -2% and ASHOKLEY 2%.

Top five individual stocks which attracted higher volumes were SBIN, TATAMOTORS, LT, ICICIBANK and AXISBANK.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2300CE, SBIN 2200PE, TATAMOTORS 240CE and SBIN 2250CE.

Nifty option series where POSITIVE change in open interest was seen were 4900CE (1.17 LK) 5400CE (2.45 LK) 5500CE (3.47 LK) 4600PE (14.67 LK) 4700PE (1.62 LK) 4800PE (1.86 LK) 4900PE (1.65 LK) 5000PE (5.86 LK) 5100PE (13.58 LK) 5200PE (5.15 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5000CE (2.90 LK) 5100CE 95.12 LK) 4500PE (3.33 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.04 Cr shares and that of Put Options stood at 5.74 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.49 Cr shares and that of Put Options stood at 49.39 LK shares. Put Call Ratio of current series alone stands at 1.77

Happy Trading

Atul Doshi

Derivatives Daily Update: June 14 2012

Weak Day: June 14, 2012

Nifty June Futures closed lower by 68.90 points at 5054.10. Bank Nifty too closed lower by 233.85 points at 9834.25. Open Interest in Nifty across all the series came down by 5 lakh shares at 1.84 Cr shares. Turnover was higher than yesterday at Rs 1.05 trillion. Put Call Ratio for both Index & Stock Options on consolidated basis was smartly up to 1.09, though for Nifty alone in current series it came marginally down to 1.65. Volatility as measured by India VIX shot up by 6% to 25.71 as Nifty fell drastically. Normally VIX has negative correlation with price of Nifty. Dollar Rupee was also slightly up at 55.83 putting pressure on Rupee. In all it was a weak day with negative bias in market.

My negative view on Nifty has once again being vindicated. As long as Nifty is not able to cross 5140, I once again believe Nifty will fall to 4800 level. In my opinion every rise in Nifty is an opportunity to sell with stop loss above 5140. Positional traders should think of buying Nifty only when Nifty closes above 5228.  Today Nifty has closed below its 200 DMA so avoid buying Nifty now if you don’t want to trade on short side.

Top five individual stocks which gained today were KTKBANK 5%, PIRHEALTH 4%, SUNTV 3%, ZEEL 2% and COLPAL 2%.

Top five individual stocks which lost ground were IBREALEST -7%, UNITECH -6%, PNB -6%, SREINFRA -6% and PRAJIND -5%.

Top five individual stocks which attracted higher volumes were SBIN, TATAMOTORS, ICICIBANK, LT and INFY.

Top five individual options which attracted higher activity today were SBIN 2100PE, SBIN 2200CE, SBIN 2300CE, SBIN 2250CE and SBIN 2150PE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (9.45 LK) 5300CE (4.46 LK) 5400CE (3.61 LK) 4500PE (4.73 LK) 4800PE (2.22 LK) 5000PE (3.69 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5000CE (-2.47 LK) 4900PE (-3.34 LK) 5100PE (-6.50 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.58 Cr shares and that of Put Options stood at 5.17 Cr shares. Outstanding open interest in In the Money Call Options stood at 99.22 LK shares and that of Put Options stood at 71.40 LK shares. Put Call Ratio of current series alone stands at 1.65

Happy Trading

Atul Doshi

Derivatives Daily Update: June 13 2012

Lackluster Day: June 13, 2012

Nifty June Futures closed marginally lower at 5123 down by just 3.45 points. Bank Nifty closed lower at 10068.10 down by 33.60 points. Open Interest across all the series saw an up tick by 6 lakh shares at 1.89 Cr shares indicating fresh long added to the positions. Turnover in Futures and Options segment of the market was below 1 trillion at Rs 985 bn. Put Call Ratio across all the series and for both Index as well as Stock Options was down to 0.95 levels from 1.12 but PCR for the current series in Nifty alone was marginally up at 1.72. Volatility as measured by India VIX was up by 1% at 24.36 and Dollar Rupee pair was slightly subdued at 55.79. All in all it was a low activity day ahead of some important events coming in couple of days.

I still hold my negative view as Nifty is not able to cross 5160. Negative view will continue still Nifty remains below 5228. Once it crosses 5228 view might change looking to some other parameters to confirm the same. As long as it trade below this level it is safe to sell on every rise. Those who want to punt long on the market for taking advantage of bear market correction; only saving grace for them is Nifty trading above 5070 which is 200 DMA. Keep stop loss of 5070 and buy with price objective of 5228.

Top five individual stocks which gained today were NCC 9%, MCDOWELL 6%, HINDOILEXP 6%, IRB 6% and INDIACEM 5%.

Top five individual stocks which lost ground were MARUTI -3%, STER -3%, UNITECH -3%, JINDALSAW -3% and TATAGLOBAL -3%.

Top five individual stocks which attracted higher volumes were SBIN, LT, ICICIBANK, TATAMOTORS and AXISBANK.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2250CE, SBIN 2300CE, SBIN 2100PE and SBIN 22000E.

Nifty option series where POSITIVE change in open interest was seen were 5200CE (5.88 LK) 4000PE (1.44 LK) 4600PE (4.38 LK) 4700PE (1.54 LK) 4900PE (3.80 LK) 5000PE (3.46 LK) 5100PE (4.12 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900CE (-1.33 LK)

Outstanding open interest in Out of the Money Call Options stood at 1.91 Cr shares and that of Put Options stood at 5.44 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.51 Cr shares and that of Put Options stood at 45.88 LK shares. Put Call Ratio of current series alone stands at 1.72

Happy Trading

Atul Doshi

Derivatives Daily Update: June 12 2012

Better Trading Day: June 12, 2012

Nifty June Futures closed higher at 5126.45 up by 73.85 points. Bank Nifty closed higher at 10101.70 up by 216.75 points. Open Interest in Nifty across all the series saw an improvement by 8 lakh shares at 1.83 Cr shares indicating mop up of positions by Bulls. Turnover too was higher at Rs 1.18 trillion. Put Call Ratio was almost stable or marginally down to 1.12 on consolidated basis though it was higher at 1.71 for current series in Nifty alone indicating confidence amongst the traders as they wrote more Puts against Calls. Volatility as measured by India VIX was ruling lower at 24.20 down by 3% and Dollar Rupee pair was trading marginally higher at 55.92. In all it was a day for a bull but I am surprised to see that such smart recovery in price has not influenced Bears to cover their shorts as can be seen from increase in Open Interest.

In my opinion Nifty is trading in a broad range and is not breaking important levels on either side. I am still not bullish on the market as long as Nifty trades below 5228. Warning bells for short covering will ring once Nifty manages to close above 5160. Till that time every rise in price is an opportunity to sell.

Top five individual stocks which gained today were INDIAINFO 7%, IVRCLINFRA 7%, UCOBANK 6%, AMBUJACEM 6% and ALBK 6%.

Top five individual stocks which lost ground were ONMOBILE -4%, SOBHA -3%, LUPIN -3%, BALRAMCHIN -2%, GODREJIND -2%.

Top five individual stocks which attracted higher volumes were SBIN, TATAMOTORS, ICICIBANK, LT and HDIL.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2300CE, SBIN 2100PE, SBIN 2150CE and SBIN 2250CE.

Nifty option series where POSITIVE change in open interest was seen were 5200CE (3.51 LK) 5300CE (1.66 LK) 5400CE (2.79 LK) 5500CE (2.71 LK) 4600PE (6.42 LK) 4700PE (2.73 LK) 4800PE (5.01 LK) 4900 PE (7.26 LK) 5000PE (7.62 LK) 5100PE (7.61 LK) 5200PE (6.08 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5000CE (-2.43 LK) 5100CE (-1.08 LK) 4300PE (-2.33 LK) 4400PE (-9.61 LK)

Outstanding open interest in Out of the Money Call Options stood at 1.84 Cr shares and that of Put Options stood at 5.37 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.56 LK shares and that of Put Options stood at 45.89 LK shares. Put Call Ratio of current series alone stands at 1.71

Happy Trading

Atul Doshi

Derivatives Daily Update: June 11 2012

Weakness Revisited: June 11, 2012

Nifty June Futures closed lower by 6.80 points at 5052.60 after making a high of 5124. Bank Nifty too closed lower by 54.55 points at 9884.95. Open Interest in Nifty across all the series came down by 3.75 lakh shares at 1.75 Cr shares. Turnover was higher at Rs 1.13 trillion. Put Call Ratio improved to 1.14 on consolidated basis across all the series for both Index & Stock Options though it was marginally lower at 1.64 for Nifty in June series. Volatility again shot up by 7% at 25.02 leading markets to weaker closing. Dollar Rupee pair too was trading higher at 55.89 again making Rupee weaker which in turn helped markets to remain in a subdued zone.

In my opinion as explicitly explained several times that we are in bear trend in medium to long term and every rise warrants a sell. The entire rise in price that we were seeing in last couple of days is mere pull back. Unless and until Nifty closes above 5228 this bear trend will continue and hence it is advisable to short Nifty with price objective of 4800. However those who are brave to punt on long side and want to ride the correction rally can do so with strict stop below 5000 and price objective of 5228.

Top five individual stocks which gained today were GVKPIL 13%, RAYMOND 4%, NAGAROIL 4%, SYNDIBANK 4% and BOMDYEING 3%.

Top five individual stocks which lost ground were DELTACORP -5%, ROLTA -5%, LUPIN -4%, SUNTV -4% and HAVELLS -4%.

Top five individual stocks which attracted higher volumes were SBIN, ICICIBANK, LT, TATAMOTORS and HDIL.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2300CE, SBIN 2100PE, SBIN 2200PE and SBIN 2250CE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (2.73 LK) 5200CE (8.37 LK) 5300CE (9.98 LK) 5400CE (3.32 LK0 5500CE (1.21 LK) 4500PE (1.59 LK) 4600PE (7.96 LK) 4800PE (3.80 LK) 5000PE (3.32 LK) 5100PE (9.31 LK) 5200PE (1.93 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4800CE (3.21 LK) 4300PE (3.46 LK) 4400PE (8.08 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.28 Cr shares and that of Put Options stood at 4.94 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.12 Cr shares and that of Put Options stood at 63.06 LK shares. Put Call Ratio of current series alone stands at 1.64

Happy Trading

Atul Doshi

Derivatives Daily Update: June 8 2012

Stable Day: June 8, 2012

Nifty June Futures closed higher by 30 points at 5059.40. Bank Nifty closed higher by 83.70 points at 9939.50. Open Interest in Nifty across all the series saw negligible reduction by 10 k shares at 1.79 Cr shares. Turnover was slightly higher at Rs 1.05 trillion. Put Call Ratio for both Index and Stock Options across all the series on consolidated basis was unchanged at 1.06 though for only Nifty and that for June series was higher at 1.70 indicating traders are confident about the markets moving up in shorter term time frame. Volatility as measured by India VIX was marginally down by 1% at 23.47. Dollar Rupee pair was trading bit higher at 55.66. In all it was a stable day with prices moving up and closing higher for the 4^th consecutive day.

As said in several earlier post, this up moves are correction of bear trend and pull back in prices can continue up to 5160 and maximum up to 5228. Level of 5228 is difficult to be breached but if in case markets move up and close on sustained basis above 5228 than bear trend will be over and we will have to think in term of Bullish outlook. As long as it is not able to breach this level, sell at every rise is warranted with stop above 5160 and 5228 and price target of 4800.

Top five individual stocks which gained today were JETAIRWAYS 9%, SUNTV 9%, HDIL 6%, IVRCLINFRA 6% and TATACOFFEE 6%.

Top five individual stocks which lost ground were BEML -6%, INDIACEM -5%, NAGAROIL -3%, ONMOBILE -3% and AUROPHARMA -3%

Top five individual stocks which attracted higher volumes were SBIN, HDIL, ICICIBANK, LT and RELINFRA.

Top five individual options which attracted higher activity today were SBIN 2200CE, SBIN 2100PE, JPASSOCIAT 75CE, SBIN 2300CE and SBIN2150CE.

Nifty option series where POSITIVE change in open interest was seen were 5200CE (3.05 LK) 4400 PE (4.57 LK) 4500PE (2.81 LK) 4700PE (2.48 LK) 5000PE (10.22 LK) 5100PE (3.26 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4800CE (-2.26 LK) 4900CE (-4.72 LK) 5000CE (3.01 LK) 5300CE (-4.39 LK) 5400CE (-1.50 LK) 4900PE (-1.21 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.02 Cr shares and that of Put Options stood at 4.87 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.15 Cr shares and that of Put Options stood at 51.17 LK shares. Put Call Ratio of current series alone stands at 1.70

Happy Trading

Atul Doshi

Derivatives Daily Update: June 7 2012

Resilient Day: June 7, 2012

Nifty June Futures closed at 5029.35 up by 50.75 points. Bank Nifty closed at 9855.80 up by 184.55 points. Open Interest in Nifty across all the series was smartly up by 9.34 lakh shares at 1.79 Cr shares indicating Bulls have mopped up positions today. Bank Nifty too saw upsurge in Open Interest. Turnover was lower at Rs 900 bn as through out the day we saw resilient market without much of choppiness. Put Call Ratio on consolidated basis for both Index & Stock Options was up at 1.06 again indicating confidence among the traders as they wrote more Puts against the Calls. Put Call Ratio for Nifty alone in current series was ruling at 1.55 slightly down from yesterday’s level. Volatility as measured by India VIX was smartly down by 5% at 23.64 indicating steadiness in the market. Dollar Rupee pair was under pressure and was ruling at 55.17 which again helped market in moving up. In all it was a resilient day and some kind of Bullish build up was seen in the market.

I still hold the same view which was expressed in yesterday’s post that we are in to bear market and this rally can be construed as Pull back which might extend up to 5060 or even up to 5150. Nifty today retraced back exactly from 5059.65. If this rally continues tomorrow which seems to be likely possibility we might touch 5150 but maximum it can go up to 5228. If it crosses 5228 sustain ably and closes above that level for couple of days than intermediate down trend will end. As of now trade the range with negative bias for medium to long term.

Top five individual stocks which gained today were DELTACORP 8%, POLARIS 8%, BAJAJHIND 8%, RENUKA 8% and RELCAPITAL 7%.

Top five individual stocks which lost ground were TATACOMM -3%, IRB -3%, WIPRO -3%, HINDPETRO -2% and IOC -2%.

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

Top five individual options which attracted higher activity today were RELIANCE 740CE, SBIN 2200CE, RELIANCE 720CE, RELIANCE 700PE and RELIANCE 700PE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (5.37 LK) 5200CE (1.38 LK) 5400CE (9.74 LK) 5500CE (2.07 LK) 4400PE (7.19 LK) 4500PE (2.23 LK) 4600PE (5.18 LK) 4700PE (4.77 LK) 4800PE (3.01 LK) 4900PE (12.56 LK) 5000PE (8.34 LK) 5100PE (1.36 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4800CE (1.96 LK) 5000CE (2.20 LK) 4200PE (2.20 LK) 4300PE (16.18 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.10 Cr shares and that of Put Options stood at 4.80 Cr shares. Outstanding open interest in In the Money Call Options stood at 1.31 CR shares and that of Put Options stood at 48.26 Cr shares. Put Call Ratio of current series alone stands at 1.55

Happy Trading

Atul Doshi

Derivatives Daily Update: June 6 2012

Short Covering Day: June 6, 2012

Nifty June Futures closed up by 132.3 points at 4978.60. Bank Nifty closed up by 281.95 points at 9671.25. Open Interest in Nifty across all the series came down just marginally by 18 k shares but for the current series it came down by 4 lk shares indicating some short covering happening in the market. Turnover saw an upsurge by 50% and stood at Rs 1.08 trillion. Put Call Ratio moved up to 0.99 from 0.91 on consolidated basis. PCR for the current series for only Nifty was smartly up to 1.62 from 1.43 levels indicating traders are back in the market and fill confident about the market as they wrote more puts against the calls. Volatility as measured by India VIX was down by 5% at 24.90 as we saw steadiness in the market. Dollar Rupee pair too was subdued at 55.56 from 55.88 level easing pressure on rupee which helped the market in general. In all it was a short covering day.

I said in yesterday’s post, shorts should be covered up if Nifty breaches 4900. I still hold a negative view as today’s rally can be construed as pull back rally which might continue till 5060. Those who can and want to punt on bull side probably buy with 4900 as stop with price objective of 5060 in extremely short run as still shorts are yet to be covered up and any increase from current level will invite some short covering which might pull Nifty to 5060 levels or even 5150. If it fails to sustain tomorrow and drifts down than downward trend might continue.

Top five individual stocks which gained today were GMRINFRA 11%, INDIAINFO 8%, APOLLOTYRE 8%, IVRCLINFRA 8% and PANTALOON 7%.

Top five individual stocks which lost ground were BALRAMCHIN -3%, HINDPETRO -2%, IOC -2%, COLPAL -2% and GLAXO -1%.

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

Top five individual options which attracted higher activity today were TATAMOTORS 240CE, SBIN 2200CE, SBIN 2100CE, SBIN 2100PE and SBIN 2000PE.

Nifty option series where POSITIVE change in open interest was seen were 5100CE (3.18 LK) 5200CE (7.06 LK) 5300CE (5.82 LK) 5400CE (1.34 LK) 4300PE (9.82 LK) 4500PE (5.54 LK) 4600PE (2.65 LK) 4800PE (20.28 LK0 4900PE (14.61 LK) 5000PE (8.85 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4700CE (2.89 LK) 4800CE (3.89 LK) 4900CE (4.64 LK0 4200PE (6.87 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.48 Cr shares and that of Put Options stood at 4.41 Cr shares. Outstanding open interest in In the Money Call Options stood at 85.45 LK shares and that of Put Options stood at 1.13 Cr shares. Put Call Ratio of current series alone stands at 1.66

Happy Trading

Atul Doshi

Derivatives Daily Update: June 5 2012

Lackluster Day: June 5, 2012

Nifty June Futures closed mildly up by 5.8 points at 4846.30. Bank Nifty too closed higher by just 55.55 points at 9389.30. Open Interest in Nifty across all the series barely changed and was at 1.70 Cr shares. Turnover too was lower at Rs 732 bn. Put Call Ratio came down to 0.91 levels indicating bit of weariness in the market as more Calls were written against Puts. Volatility as measured by India VIX again shot up by 3% to 26.26 and Dollar Rupee duo too was trading bit higher at 55.88 indicating weakening Rupee resulting in to lack of interest in market.

In my opinion nothing has happened which can change my bearish view. I feel that improvement in prices is not supported by positive built up in positions and hence market gives up all the gain which it manages during the day. Follow up by traders is missing. As long as Nifty manages to remain below 4900 it is advisable to short Nifty with price objective of 4760 and below that 4600. If it crosses 4900 on closing basis than one need to cover up the shorts but should not hurry to build on bullish position until further confirmation of sustainable bottom is seen.

Top five individual stocks which gained today were BFUTILITIE 7%, EXIDEIND 5%, DCB 5%, MCLEODRUSS 4% and SREINFRA 4%.

Top five individual stocks which lost ground were MPHASIS -5%, APOLLOTYRE -4%, VIPIND -4%, TATAMTRDVR -4% and GSPL -3%.

Top five individual stocks which attracted higher volumes were SBIN, TATAMOTORS, ICICIBANK, LT and AXISBANK.

Top five individual options which attracted higher activity today were SBIN 2100CE, SBIN 2000PE, SBIN 2200CE, TATAMOTORS 240CE and SBIN 2150CE.

Nifty option series where POSITIVE change in open interest was seen were 4800CE (1.31 LK) 4900CE (4.44 LK) 5000CE (6.39 LK) 5100CE (2.30 LK) 5200CE (1.18 LK) 4300PE (4.89 LK) 4500PE (3.36 LK) 4600PE (1.24 LK) 4700PE (2.11 LK) 4800PE (3.89 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4200PE (3.92 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.73 Cr shares and that of Put Options stood at 3.68 Cr shares. Outstanding open interest in In the Money Call Options stood at 58.50 LK shares and that of Put Options stood at 1.06 Cr shares. Put Call Ratio of current series alone stands at 1.43

Happy Trading

Atul Doshi

Derivatives Daily Update: June 4 2012

Lull After The Storm: June 4, 2012

After opening weak below 4800 Nifty June Futures managed to close above by 15.95 points at 4840.50. Bank Nifty too rebounded and closed above by 121.65 points at 9333.75. Open Interest in Nifty across all the series saw an improvement by 8 lakh shares at 1.69 Cr shares indicating some positive built up in Open Interest. Turnover was slightly up to Rs 815 bn. Put Call Ratio saw mild improvement to 1.03 from 1.01 levels and for current series too it was marginally up to 1.47 from 1.46 level. Volatility as measured by India VIX came down by 4% at 25.60 probably due to some steadiness in the market. Dollar Rupee pair was trading lower at 55.62, stronger Rupee again helping equity markets. In all it was an up day though it seemed to be lull after the storm.

As said in earlier posts that we are headed for 4800 levels has been vindicated today and first target of 4800 has been achieved. Though markets have closed above 4800, I still believe that this level is not sustainable and we might once again break this level and head for further lower price level. Buy only when some meaningful bottom is in place and that needs to be confirmed on closing basis and for that Nifty has to decisively close above 5228. Shorts need to be covered up once Nifty closes above 4900 level. Till that time every rise is an opportunity to sell.

Top five individual stocks which gained today were PANTALOON 7%, DENABANK 7%, HEXAWARE 6%, DELTACORP 6% and IBREALEST 6%.

Top five individual stocks which lost ground were JUBLFOOD -6%, PETRONET -6%, ABAN -6%, TITAN -5% and IGL -5%.

Top five individual stocks which attracted higher volumes were SBIN, IGL, TATAMOTORS, ICICIBANK and DLF.

Top five individual options which attracted higher activity today were SBIN 2100CE, TATATMOTORS 240CE, SBIN 2000CE, SBIN 2000PE and SBIN 1900PE.

Nifty option series where POSITIVE change in open interest was seen were 4600 CE (2.64 LK) 4700 CE (1.53 LK) 4800 CE (3.61 LK) 4900 CE (2.74 LK) 5000 CE (1.52 LK) 5200 CE (3.71 LK0 4200 PE (2.64 LK) 4300 PE (6.50 LK) 4400 PE (3.11 LK) 4500 CE (1.53 LK) 4600 PE (5.76 LK) 4700 PE (8.81 LK) 4800 PE (3.12 LK)

Nifty option series where NEGATIVE change in open interest was seen were 5400 CE (-1.54 LK) 4900 PE (-3.38 LK) 5100 PE (-1.25 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.63 Cr shares and that of Put Options stood at 3.65 Cr shares. Outstanding open interest in In the Money Call Options stood at 57.58 LK shares and that of Put Options stood at 1 Cr shares. Put Call Ratio of current series alone stands at 1.47

Happy Trading

Atul Doshi

Derivatives Daily Update: June 1 2012

Downtrend Continues: June 1 2012

Nifty June Futures closed lower at 4824.55 down by 91.70 points. Bank Nifty closed down at 9212.10 down by 226.55 points. Turnover was at Rs 800 bn. Put Call Ratio was 1.01 on consolidated basis and for June series it was 1.46. Volatility as measured by India VIX was at 26.77 up by 6% and Dollar Rupee duo was trading at 56.10 lower from yesterday’s level. Open Interest in Nifty of June Futures was up by 9 lakh shares at 1.63 Cr shares. In all it was a weak day and downtrend which started during last fortnight continued.

My opinion that we are in medium to long term trapped in bear trend has once again being vindicated today. I held my view that we are heading for lower closing in coming days and probably break below 4800 will take us to 4550 4600 levels where chances of making decent bottom will once again arise but till than ride the bear trend and see for some meaningful bottom formation for covering your shorts and entering in to long positions.

Top five individual stocks which gained today were IGL 32%, GSPL 10%, PETRONET 8%, MCDOWELL 3% and ULTRACEMCO 3%.

Top five individual stocks which lost ground were PANTALOON -8%, ADANIENT -8%, ARVIND -7%, IVRCLIFRA -6% and APOLLOTYRE -6%.

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

Top five individual options which attracted higher activity today were SBIN 2100CE, TATAMOTORS 240CE, SBIN 2000CE, TATAMOTORS 260CE and TATAMOTORS 220PE.

Nifty option series where POSITIVE change in open interest was seen were 4700CE (1.44 LK) 4800CE (6.82 LK) 4900CE (6.92 LK) 5000CE (9.63 LK) 5100CE (8.38 LK) 5200CE (6.57 LK) 5300CE (2.52 LK) 4100PE (2.56 LK) 4200PE (18.44 LK) 4300PE (4.87 LK) 4400PE (5.92 LK) 4500PE (8.81 LK) 4600PE (6.63 LK) 4700PE (8.79 LK) 4800PE (3.70 LK)

Nifty option series where NEGATIVE change in open interest was seen were 4900PE (1.16 LK) 5000PE (1.53 LK)

Outstanding open interest in Out of the Money Call Options stood at 2.55 Cr shares and that of Put Options stood at 3.34 Cr shares. Outstanding open interest in In the Money Call Options stood at 49.06 LK shares and that of Put Options stood at 1.10 Cr shares. Put Call Ratio of current series alone stands at 1.46

Happy Trading

Atul Doshi