Nifty Derivative Snapshot & Derivative Stock Recommendations

NIFTY (8423) CNX Nifty opened gap up and remained upbeat for the entire session due to across the board buying activity by funds and retail investors. After the pleasant day for the traders the index settled with the handsome gains of around 57 points. The index has snapped the losses it made recently by more than 50% Fibonacci retracement level in last two weeks and now it has to continue to hold above 8420 zones to witness the up move towards 8480 and 8500 levels. On the downside, if it fails to sustain 8420 zone then the index may witness profit taking and it may again get stuck in the wider range of 8180 8380 levels. 

CNX NIFTY rose to 8,440 level post 27 points of gap up opening and later managed to sustain initial gain during the day with narrow range consolidation and finally, finished trade at 8,423 level, with the rise of 58 points.

• NSE Cash segment witnessed a turnover of about Rs14,538 crores as compared to Rs15,809 crores earlier.
• Overall market breadth remained positive, where 758 stocks advanced against 718 declined stocks.
• Mixed trend was witnessed amongst sectoral indices during the day, where CNX IT, CNX FINANCE & BANK NIFTY emerged as top gainers with the increase of 1.8%-1%, however CNX METAL & CNX AUTO emerged as top losers with the decrease of 0.6% each.
• Nifty opened on a positive note and continued to rise closing comfortably above 8400 levels.
• Nifty added 57 points to close at 8423.
• OI concentration is seen at 8100 PE and 8500 CE.
• Addition witnessed in 8400PE and Reduction in 8400CE.
• PCR OI stands at 1.17 compared to 1.06 in the previous trading session.
• Nifty to trade with a resistance of 8470.

Stocks

• Banking and IT stocks gained to support Nifty's upmove.
• In the banking space, ICICI bank has formed a 'U' shaped recovery. The stock can breakout on the upside as it has considerable space. The stock trades with a positive bias in the weekly and daily charts. We expect the stock to gain in the next few trading sessions. One can enter the same at current price for a near term target of 326/330.
• Market wide open interest is seen at Rs.226,142Cr.
• Amongst sectoral index, CNX IT adds fresh long position.
• Apollo Hospital observed build up in long position.

JUSTDIAL is turning from the lower band of the trading range and moving after taking support at its multiple support zone of 1051-1076 zones. It has been witnessing built up of long position and showing the early sign of trend reversal. The stock is also our value pick for the upside target of 2053 from the fundamental perspective. Thus traders can sell the stock on bounce back move with stop loss of 1102 for the downside target of 1168 levels. 

Buy Just Dial Between Rs. 1118 to 1130,Stop Loss 1102,Target 1168 

JINDALSTEL is falling from last three series and has broken all its support levels. It is in the bear grip as witnesses selling pressure at every bounce back move. We are observing fresh short position which may drag it to further lower levels. Traders can sell the stock on bounce back move with stop loss of 142 for the downside target of 134.5 levels. 

Sell Jindal Steel Between Rs. 139 to 140,Stop Loss 142,Target 134.5