The next crucial resistance level for the index is placed near 10,300 levels but as long as Nifty trades above 10200, bulls are likely to have an upper hand, suggest experts.
The Nifty which started on a muted note weighed down by weak global cues managed to reclaim 10,200 in the last one hour of the trading session on Tuesday. The index made a bullish candle for the second consecutive day in a row.
The Nifty index is trading well above its crucial short-term moving averages which suggest the momentum is likely to continue. Investors who went long on the index should keep a stop below 10,117 on a closing basis.
The next crucial resistance level for the index is placed near 10,300 levels but as long as Nifty trades above 10200 bulls are likely to have an upper hand, suggest experts.
The Nifty which opened at 10,186 slipped to an intraday low of 10171. Bulls charged on D-Street in the second half of trading session to push the index to its intraday high of 10,255. The Nifty closed 33 points higher at 10,245.
“Defying negative rumblings from the overnight global cues bulls have chosen to march ahead on Indian bourses after a brief intraday consolidation before signing off the day with a decent bullish candle formation,” Mazhar Mohammad, Chief Strategist –Technical Research & Trading Advisory, Chartviewindia.in told Moneycontrol.
“In this process, they approached the supply line of a 22-day old down sloping channel whose value is placed around 10240 levels for next session. If they manage to successfully negotiate this resistance point then on a sustainable breakout a new target towards 10600 will be thrown out from the breakout point of this downsloping channel,” he said.
We have collated the top 15 data points to help you spot profitable trades:
Key support and resistance level for Nifty
The Nifty closed at 10,245.0 on Tuesday. According to Pivot charts, the key support level is placed at 10,192.23, followed by 10,139.47. If the index starts moving upwards, key resistance levels to watch out are 10,276.53 and 10,308.07.
Nifty Bank
The Nifty Bank index closed at 24,510.6 on Tuesday. The important Pivot level, which will act as crucial support for the index, is placed at 24,330.6, followed by 24,150.6. On the upside, key resistance levels are placed at 24,614.3, followed by 24,718.0.
Call Options data
In terms of open interest, the 10,500 call option has seen the most call writing so far at 33.05 lakh contracts. This could act as a crucial resistance level for the index in the April series.
The second-highest buildup has taken place in the 10,300 Call option, which has seen 27.54 lakh contracts getting written so far. The 10,400 Call option has accumulated 24.56 lakh contracts.
Call writing was seen at the strike price of 10,300, which added 5.99 lakh contracts, followed by 10,400, which added 3.71 lakh contracts, and 10,600, which added 1.57 lakh contracts.
Call unwinding was seen at the strike price of 10,000, which shed 1.23 lakh contracts, followed by 10,200, which shed 42,450 contracts and 10,100, which shed 37,500 contracts.
Put Options data
Maximum open interest in put options was seen at a strike price of 10,000, in which 44.76 lakh contracts been added till date. This could be a crucial resistance level for the index in April series.
The 9,800 put option comes next, having added 31.18 lakh contracts so far, and the 10,100 put option, which has now accumulated 26.06 lakh contracts.
During the session, put writing was seen the most at a strike price of 9,800, with 4.77 lakh contracts being added, followed by 10,000, which added 4.69 lakh contracts and 10,100 with 3.58 lakh contracts.
Put unwinding was seen at a strike price of 10,700, in which 94,050 lakh contracts were shed.
FII & DII data:
Foreign institutional investors (FIIs) sold shares worth Rs 376.51 crore, while domestic institutional investors bought shares worth Rs 479.18 crore in the Indian equity market, as per provisional data available on the NSE.
Bulk Deals:
Infibeam Incorporation Limited: Smaller Cap World Fund INC bought 107,25,000 shares at Rs 152 per share
Noida Toll Bridge Company: Arch Finance Ltd. sold 13,00,000 shares at Rs 12.15 per share
Manaksia Steels Ltd: Albula Investment Fund Ltd bought 3,28,825 shares at Rs 33.21 per share
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Analyst or Board Meet/Briefings:
Precision Camshafts: IDFC Mutual Fund, SBI Mutual Fund and ICICI Prudential Life Insurance will be meeting the management of the firm on April 4, 2018
Balrampur Chini: Franklin Templeton Mutual Fund will meet the company’s representatives on April 4, 2018.
Stocks in news:
Indiabulls Housing Finance paid interest on principal on its NCDs on April 3, 2018.
Kotak Mahindra Bank: Made a payment of interest on its bonds at 8.450 percent.
IDBI Bank: It has approved a proposal for issue of eq capital up to Rs 7881 crore To the government.
ICICI Bank: After CBI & I-T Dept, ED Starts Probe Into ICICI Bank & Videocon Matter
Lupin: UK health regulator completes inspection of Lupin’s Goa plant. No observations issued.
No stocks under ban period on NSE
Security in ban period for the next day’s trade under the F&O segment includes companies in which the security has crossed 95 percent of the market-wide position limit.
But for April 4, 2018 there are no stocks present in this list.
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