Nifty Derivative Snapshot & Derivative Stock Recommendations

CNX NIFTY remained in pressure right from the beginning amidst weakness across the board. The breakdown remained extremely severe with selling seen not only in large caps but also in the mid-cap and small-cap space, especially in the broader market indices. Finally, NIFTY closed the day with loss of 91 points at 8,214 mark.

• NSE Cash segment witnessed a turnover of about Rs18,945 crores as compared to Rs18,628 crores earlier.
• Overall market breadth remained negative, with 150 stocks advancing against 1022 stocks declining.
• Sectorally, CNX Realty emerged as top loser down 4.1% followed by CNX Pharma and PSU Bank index that lost 2.5%. None of the sectoral indices closed the day on a positive note.
• Put Call Ratio based on Open Interest of Nifty fell down from 0.83 to 0.78 levels. Historical Volatility of Nifty moved up from 18.13 to 18.40 levels but Implied Volatility fell down from 18.77 to 18.40 levels. 

CNX NIFTY OUTLOOK

• Sell-off continued at domestic bourses yesterday, after sharp decline observed in the benchmark indices from past two weeks. Sell-off across the board saw NIFTY ending the day with the loss of about 1.1%. Thus, after September 2013, this will be the first occasion where in NIFTY, has once again plunged below its 200 Day simple moving average and closed below the same currently placed around level of 8,261 mark.
• As for the day, support is placed at 8,180 and then at 8,140 levels, while resistance observed at 8,260 and then at 8,320 levels.
• Nifty continued to slide lower as it broke 8250 levels.
• Nifty lost 91 points to close at 8213.
• OI concentration is seen at 8200 PE and 8500 CE.
• Activity witnessed in 8300 strike. 
• PCR OI stands at 0.69 compared to 0.78 in the previous trading session.
• Nifty to trade with a resistance of 8580.

Stocks

• Most front liners traded negative as Nifty inched closer to 8200 levels.
• In the IT space, TCS has managed to buck the negative trend and continued to gain. The stock has shown a sharp uptrend from its recent lows of 2420 levels. The stock trades in the positive zone in the weekly and daily chats. The RSI also indicates a positive bias. One can trade the same for a near term target of 2620.
• Market wide open interest is seen at Rs.253,391Cr
• Amongst sectoral index, CNX Realty adds fresh short position.
• Wockhardt and Bharti Airtel observed build up in short position.

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. The stock witnessed built up of long position with an open interest addition of around 12% in previous trading session. Thus, traders can buy the stock with stop loss of 1223 for the upside target of 1298 levels 

Buy Between Rs. 1242 to 1254,Stop Loss 1223,Target 1298 

RELCAPITAL has broken all the support levels and drifting down with the broader market. It has been witnessing sustained selling pressure from last five months with built up of short position thus showing the potential of further decline towards 396 levels. Thus one can sell the stock with a stop loss of 420 levels for the downside target of 396 levels. 

Sell Between Rs.410 to 414,Stop Loss 420,Target 396