Nifty Derivative Snapshot & Derivative Stock Recommendations

CNX Nifty (8135) CNX Nifty opened negative below previous day’s close and continued its profit booking towards 8100 zones on second consecutive trading session. Although it was witnessing support base buying near to 8100 zones but managed to give bounce back of only 50-60 points and finally closed the session with the loss of more than 100 points. Index has corrected by more than 350 points from 8450 to 8100 levels in last 2 trading sessions and trading near to recent support levels. Now if it manages to hold above 8180 zones then only further bounce back move may be seen towards next hurdle of 8250-8270 zones, while if it fails to hold 8080 then weakness may continue towards recent low of psychological 8000 mark. 

CNX NIFTY plunged below 8,100 mark (till 8,094 level) post flat opening amidst weakness across the board, except IT counters and later with minor rebound and narrow range consolidation tried to trim the loss before ending the session.

• Finally, CNX NIFTY shut the shop with loss of 101 points at 8,135 level.
• NSE Cash segment witnessed turnover of about Rs18,913 crores as compared to Rs.16,983 crores earlier.
• Overall market breadth remained negative, where 224 stocks advanced against 1292 declined stocks.
• Except CNX IT (rose by 0.1%) negative trend was witnessed amongst all sectoral indices during the day, where CNX REALTY, CNX FMCG & CNX PSU BANK emerged as top losers with the decrease of 6%, 2.9% & 2.4% respectively.

CNX NIFTY OUTLOOK

• CNX NIFTY closed in loss for straight third trading session in a row, where it lost ~300 points in that fall. Though, our near-term technical view is negative, a minor bounce back cannot be ruled out post such a massive decline. As mentioned earlier, on lower side index will find support around 8,100-8,000 range and major up move will be seen only above 8,500 mark. 
• As for the day, support is placed at 8,090 and then at 8,000 levels, while resistance observed at 8,180 and then at 8,270 levels.
• Nifty continued its down trend as it tested 8100 levels.
• Nifty lost 101 points to close at 8135.
• OI concentration is seen at 8000 PE and 8500 CE.
• Activity witnessed in 8300 strike.
• PCR OI stands at 0.94 compared to 1.03 in the previous trading session.
• Nifty to trade with a resistance of 8470.

Stocks

• Banking stocks, ITC and ONGC led the Nifty's downside.
• In the metals and mining space, CoalIndia has not lost its ground and has been positive .The stock trades with a strong support of 380 levels. The stock has also witnessed some buying interest in the previous trading session.A bounce from current levels can see the stock run up to its recent highs. One can enter the same at current levels for a near term target of 398/400 levels in the near term.
• Market wide open interest is seen at Rs.195,206Cr.
• Amongst sectoral index, CNX IT adds fresh long position.
• HDIL and TATA Power observed build up in short position.

BHARTIARTL is moving up from last couple of trading session in spite of weakness in broader market. Recently it has crossed its immediate major hurdle of 400 zones and till it remains above 400-405 zone momentum may continue to take it to higher levels. It witnessed huge delivery volumes in last week that also justifies our positive stance on the counter. One can buy the stock with stop loss of 405 for the upside target of 432 levels. 

Buy Bharti Airtel Between Rs. 412 to 416,Stop Loss 405,Target 432 

EXIDEIND has been falling down from last three series and hitting to lower levels. It is in bear grips as added fresh built up of short position and broken the immediate support of 150 levels. Now till it doesn’t cross its immediate supply zone of 155-158 mark, weakness may continue for next coming sessions. One can sell the stock with stop loss of 152 for the down side target of 143 levels. 

Sell Exide Ind Between Rs. 148 to 150,Stop Loss 152,Target 143