Nifty Derivative Snapshot & Derivative Stock Recommendations

NIFTY (8182) CNX Nifty opened negative and continued its negative trend over the session with intraday swings. It is in command of bears from last 3 weeks and corrected itself by over 85 points from the day’s high of 8229 levels. The index continued forming its negative pattern of lower highs of last six trading sessions and finally settled the day with the loss of around 60 points. Now, index needs to cross its 8340 levels to negate its negative pattern of making lower highs and witness a bounce back move towards 8450-8480 levels. Now, index needs to cross and hold above 8220 zones to witness a bounce back move towards 8280-8300 zones. While, if it fails to hold its 8180 levels then further profit booking may drag the index towards 8120-8100 levels

Benchmark index NSE NIFTY, witnessed extremely high volatility between 8,229 to 8,145

mark during April series expiry, only to end the trade with the loss of about 58 points at 8,182 mark.

• NSE Cash segment witnessed a turnover of about Rs25,559 crores as compared to Rs16,081 crores earlier.
• Overall market breadth remained negative, with 658 stocks advancing against 815 stocks declining.
• Sectorally, it remained a mixed day of trend with CNX Metal emerging as top loser down 1.7% while CNX Realty emerged as top gainer up 1.6%.

CNX NIFTY OUTLOOK

• The sell-off continued at Indian Bourses with the benchmark indices failing to hold above its 200 day simple moving average from past couple of trading sessions. Also, on an expiry trade, we did see NIFTY, moving below 8,200 mark that does not augur well in short term with next support level pegged only at 7,960-8,000 mark. On upside, trend will reverse only in case, NIFTY, is able to close above level of 8,300 mark, that it has failed to do so in pastcouple of trading sessions.
• As for the day, support is placed at 8,140 and then at 8,100 levels, while resistance observed at 8,220 and then at 8,320 levels.
• Nifty continued to fall as it broke 8200 levels and closing the April series on a negative note.
• Nifty lost 58 points to close at 8181.
• OI concentration is seen at 8100 PE and 8800 CE.
• Addition witnessed in 8500CE and 8000PE.
• PCR OI stands at 0.69 compared to 0.69 in the previous trading session.
• Nifty to trade with a resistance of 8360.

Stocks 

• HDFC,ITC, and TATAMotors kept the pressure on Nifty.
• In the Pharma space, Lupin has made a sharp recovery from its previous highs of 2100 levels. The stock has formed a strong base at 1700 and has gained from those levels. The stock witnessed a huge increase in volume in the previous trading session. It remains positive in the weekly and daily charts. The RSI also supports the upmove. We expect the stock to gain in the next few trading sessions. One can accumulate the same at current levels for a near term target of 1880.
• Market wide open interest is seen at Rs.168,895Cr.
• Amongst sectoral index, CNX Metal adds fresh short position.
• IBREALEST observed build up in long position while JSW Steel observed build up in short posiiton.

SIEMENS is holding the gains and slowly moving upwards even after the market decline. It has taken multiple supports near to 1216 zone and negated its negative pattern of forming lower highs lower lows and started forming higher highs - higher lows. The stock witnessed short covering activity. Thus, traders can buy the stock with stop loss of 1322 for the upside target of 1402 levels. 

Buy Between Rs. 1342 to 1355,Stop Loss 1322,Target 1402 

JSWSTEEL has been forming lower highs- lows from last five series and also witnessing liquidation of long position with sustained selling pressure at every small bounce back move. It has given the lowest closing of last 15 days and holding below 957 may continue weakness towards 912 and 895 levels. It was under the selling pressure even when index was trading at lifetime high territory and is continuously trading in the bears grip. One can sell the stock with a stop loss of 972 levels for the downside immediate target of 912 levels. 

Sell Between 948 to 957,Stop Loss 972,Target 912