Indian Stocks 16-February2016

1.0      National Stock Exchange (NSE) Benchmark Index Nifty50 :-

[A]       Movement of Benchmark Index : 

Nifty50 opened with 0.53% or 38 point upward gap at 7,201, made day's high at 7,204 ; slided to 7,135 ; bounced to 7,164 ; fell back to 7,105; Again bounced to 7,135 before continuous slide to 7,045. After small technical bounce Nifty50 finally made Day's LOW at 7,037 and finally closed at .7,048 or 1.63 % Lower

[B]         Near Month (Feb'16)Expiry Nifty50 Derivative Contracts:

(i)        At the end of session, Open Interest in near month Future contract of Nifty50 was increased by 3.73%. Contract was closed at 7,054.1 or 1.56% Lower. That means Cost of Carry at the time of close was stood at 1.01, or Nifty50 future was trading in slight premium.Increase in OI indicates that today's Fall  in Nifty50 was due to Fresh built up of Short Positions.

(ii)    At the end of session, Highest Open Interest(OI) of Near month Call Option contracts was stood at the strike at 7,500. ( same as in previous session, but lot of unwinding of Long position at 7500 strike call option was seen in today's session, alongwith fresh Short built up all all call options from 7,000 to 7350 strike) Highest OI of Put Option contracts was stood at strike of 7,000 (Same as in previous session. In today's session slight short covering of 7000 put options were seen) Highest trading volume of Call option contracts was recorded at 7,200 strike, whereas highest trading volume of Put option contracts was recorded at 7,100 strike. 

(iii)      At the end of session, Implied volatility (IV) of Near month 7000 strike Call Option was seen at 17.44, whereas IV of Near month 7000 strike Put Option was seen at 22.71.

(iv)     At the end of today's session, PCR was Increased to 0.82 (volume) which was at 0.79 (volume) at the end of previous session.  At the end of today's session, PCR  was DECREASED to  0,78 ( OI) which was at  0.83 (OI) at the end of previous session. 

2.0         Movement of India Volatility - Index INDIA VIX :-

           Most part of trading session, IndiaVix Traded Flat around 22.30 level and then surged to make day's high at 23.33 and finally closed at 23.04 or 2.97 % Higher.

3.0 Advance Decline Ratio(ADR) :-

            NSE Advance Decline Ratio(ADR) opened near 2.57. Thereafter, market strength continuously deteriorated at accelerated pace and remained weak.  ADR finally closed at 0.21 i.e. on NSE, 269 stocks closed in GREEN against 1,286 stocks closed in RED or in simple words, out of every 100 stocks  only 16 stock closed with gain.

4.0 Movement of Currency Future :-

          On NSE, USD-INR Near month currency future (Feb'16 expiry) OPENED in gap UP; and traded in GREEN closed 0.51% higher at 68.5215 INR. 

5.0 Sectoral Indices - Closing    :- 

At the end of session, all major sectoral Indices closed in RED. Bank Nifty closed 1.93% LOWER. NiftyAuto Index closed 1.93 % LOWER. NiftyMetal Index closed 1.92 % LOWER. NiftyPharma Index closed 2.28 % LOWER. NiftyIT Index closed 0.72% LOWER. NiftyFMCG Index closed 2.1 % LOWER. NiftyReality Index closed 3.34% LOWER. 

6.0 Daily Movement of the  Front line  Stocks :-

TataSteel Closed 0.53% Lower ; HUL closed 0.52 % Lower.
Infy closed 0.97 % LOWER; SunPharma closed 2.52% Lower. 
Reliance closed 1.85 % Lower; TataMotor closed 4.87 % LOWER.

SBIN closed 6.85% Lower. 

7.0 New 52 Week High made by front line  stocks during the Day :-

In today's trade - no stock from Nifty50 / major Sectoral  Index made fresh 52 week High.

8.0 New 52 Week Low made by front line  stocks during the Day :-

Following  front-line stocks of Nifty50 / major Sectoral  Index made fresh 52 week low in today's trade and closed in RED. Figures in brackets shows the % difference of today's closing rate with respect to previous session closing rate. 

Punjab National Bank-(PNB) -(-5.16%); BHEL (-4.86%).

ITC(-3.18%);  Tech Mahendra (-1.92%).

McDowell (-2.88%); UBL(-1.88%); Prestige Estate (-7.38%)

Orissa Mines (- 2%)

Following front line stocks of Nifty50/ major sectoral Indices made 52 week low in today's trade but thereafter bounced to close in GREEN with gain,

Shobha Developer ( 0.1%)

9.0 Derivative Stock with Extra-ordinary price movement :

              Strides Shasun Limited:-

Share prices of Pharmaceutical Sector company with Global present - Strides Shasun Limited, Registered office at Mumbai, were slipped by 10% at 865.55 INR and finally closed at 879.65 INR with 8.53 % LOWER.

In today's trade, Open Interest (OI) in Near month(Feb'16 expiry) Future increased by 6.92 %. At the end of session, Cost of Carry of Near month future stood at 11.68. 

At the end of session Put-Call Ratio (PCR) for near month Options was 1.34 ( Volume)  & 0.48 (OI).  During the session, Highest trading volume recorded for 1000 strike of call options and 900 strike of Put options. At the end of session, Highest Open Interest (OI) of Near Month Call Option was at strike price of 1200, AND highest OI of Put Option was ALSO SEEN at strike price of 1200.  At the end of session, Implied volatility (IV) of Near month 900 strike Call Option was seen at 81.24, whereas IV of Near month 900 strike Put Option was seen at 73.04.

10.0 Daily Turnover on NSE :-

On NSE, Turnover in Equity segment was  14,976 Crore INR which was LOWER than previous session; Turnover in Derivative segment was 3,27,734 crore INR HIGHER than previous session. 

11.0 FIIs/DIIs Daily Activity :-

As per EoD provisional statistics, FII/FPIs Sold equity worth 964 crore INR(net), whereas DIIs Bought equity worth 590 crore INR(net).

12.0 Important Development during the Day :-

[A]

In an important development today, Top oil exporters Russia and Saudi Arabia agreed to freeze output levels. However, absence of Iran from the talks and its determination to raise oil production has created contingency on effectiveness of the deal on international Oil price and more importantly the huge glut of oil which is putting pressure on the Prices. The agreement between Russia and South Arabia is important because they both have conflict of interest in ongoing political crisis in Syria. 

[B]

Earlier, JAPANEES BENCHMARK Index Nikkei225 closed 0.2% Higher. Chinees BENCHMARK Index HangSang closed 1.08% Higher. At the time of writing this, major European stock markets BenchMark Indices were trading in RED. At the time of writing this, U.S. Benchmark Indices, DOW30, S&P500 and Nasdek were trading in GREEN.     

13.0 Way Ahead :-

At the end of session, India Vix is placed in RED above 20. NSE ADR is placed at 0.21. Both these together indicates Negative view for upcoming session.  

Important Disclaimer :-

Writer may have position in market/s as per risk profile and market condition. Reader/s must consult financial adviser/s, while acting on provided information. Writer may have discussed similar things with friends in group.

Written on :  16th-February 2016 21:00 Hrs.