By Rajesh Palviya
In Nifty present collection a Long Unwinding has been witnessed with lower in worth of (-)2.18% and reduce in OI by (-)31% as of Wednesday, whereby there was unwinding of 37.79.06 lakh shares in OI, lowering from 122.67 lakh to 84.88 lakh shares. NSE Nifty 50 present month rollover stands at 23% as of Wednesday, whereas Nifty Put Call Ratio, a sentiment indicator utilized by Traders to gauge the market sentiment and temper, is at present at 0.83 in comparison with 0.97 of final week, indicating flat-to-positive motion.
India Vix, a market volatility indicator usually referred to as the “concern gauge“ is at present buying and selling 18.67% in comparison with 17.78% of final week. Implied Volatility of Nifty ATM choices for the present collection is at 18.49% in distinction to fifteen.29% of final week, indicating risky motion on both aspect within the expiry session. Nifty Put choices OI distribution reveals that 17,000 has highest OI focus adopted by 16,800 & 16,900 which can act as help for present expiry and on the Call entrance 17,500 adopted by 17,300 & 17,200 witnessed vital OI focus and will act as resistance for present expiry.
In weekly choices there was Call writing seen at 17,200 strike adopted by 17,300 & 17,500 whereas on the Put aspect noticeable exercise of writing was witnessed in 17,000 ,16,800 & 16,700 strike costs. Options knowledge recommend a right away buying and selling vary between 17,000 and 17,300 ranges.
Nifty Open Interest Concentration
Nifty Option OI Change
Bank Nifty Outlook
In present collection there was a Long Unwinding witnessed in Bank Nifty Fut with an lower in worth of (-)0.36% and reduce in OI by (-)42% as of Wednesday, whereby there was unwinding of 15.53 lakh shares in OI, lowering from 37.06 lakh to 21.53 lakh shares. Bank Nifty Current collection rollover stands at 20% as of Wednesday, whereas Bank Nifty Put Call Ratio, a sentiment indicator utilized by merchants to gauge the market sentiment and temper, is at present at 0.63 in comparison with 0.80 of final week indicating flat-to-positive motion.
Bank Nifty Put choices OI distribution reveals that 36,000 has highest OI focus adopted by 35,500 & 35,800 which can act as help for present expiry and on the Call entrance 37,000 adopted by 36,500 & 36,800 witnessed vital OI focus and will act as resistance.
In weekly choices Call writing seen at 36,500, 36,800 & 37,000 strike whereas on the put aspect it was seen at 36,000, 35,500 & 35,800 Options knowledge indicated a right away buying and selling vary between 37,000 and 36,000 ranges.
Bank Nifty Open Interest Concentration
Bank Nifty Option OI Change
NSE Nifty 50 buying and selling technique for F&O expiry day
The technique which we’re suggesting for this month-to-month expiry dated twenty eighth April is a Moderately Bullish technique referred to as as CALL LADDER, which entails shopping for of 1 lot of Nifty 17,150 Call @ 180 & promoting of 1 lot every of 17,300 Call @ 106 & one lot of 17,450 Call @ 57. The price of the technique entails outflow of Rs 850 which is the utmost loss if Nifty trades and stays beneath 17,160 ranges on expiry day.The most revenue of Rs 6,650 might be attained at 17,300 ranges, whereas technique will begin making loss above 17,580, therefore it’s advisable to exit the technique in complete to keep away from limitless losses above 17,580. Break Even factors of the technique are 17,583 on upside and 17,167 on the decrease aspect.
(Rajesh Palviya, VP – Research (Head Technical & Derivatives), Axis Securities. Views expressed are the writer’s personal.)
Source: www.financialexpress.com”