Indian Stocks 22 February2016

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

[A]       Movement of Benchmark Index : 

Nifty50 opened FLAT at 7,210, made Day's low at 7,200; surged to 7,241; slipped to opening level ; again bounced to make Day's High at 7,252; slipped to 7,227 and finally closed at .7,234 or 0.33 % Higher.

[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 decreased by 8.45%. Contract was closed at 7,240  or 0.35% Higher. That means Cost of Carry at the time of close was stood at 8.32. Decrease in OI indicates that today's Rise in Nifty50 was due to Squarring up of Short Positions or Short Covering. This is last week for expiry of near month contracts.

(ii)    At the end of session, Highest Open Interest(OI) of Near month Call Option contracts was stood at the strike at 7,400. ( same as previous session) Highest OI of Put Option contracts was stood at strike of 7,200 (Which was at 7,000. This change was due to huge fresh built of 7,200 PUT) Highest trading volume of Call option contracts was recorded at 7,300 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 7200 strike Call Option was seen at 15.54, whereas IV of Near month 7200 strike Put Option was seen at 16.19.

(iv)      At the end of today's session PCR was recorded as 0.92(Vol), against previous session's 0.85 (volume).  At the end of today's session, PCR  was recorded as 0.82(OI), against previous session's 0.83 (OI) .

2.0         Movement of India Volatility - Index INDIA VIX :-

           IndiaVix continuously traded in GREEN Zone and finally closed at 21.02 or 0.5 % HIGHER.

3.0 Advance Decline Ratio(ADR) :-

            NSE Advance Decline Ratio(ADR) opened near 2.1. Thereafter, market strength slightly deteriorated ADR finally closed at 1.33 i.e. on NSE, 874 stocks closed in GREEN against 656 stocks closed in RED or in simple words, out of every 100 stocks 57 stock closed with gain.

4.0 Movement of Currency Future :-

          USD-INR Near Month future(Feb'16 Exp) closed in GREEN at 68.67 INR or 0.18% Higher.

5.0 Sectoral Indices - Closing    :- 

At the end of session, 
Bank Nifty closed 0.28% HIGHER. 
NiftyAuto Index closed 0.31 % HIGHER. 
NiftyMetal Index closed 0.65 % HIGHER. 
NiftyReality Index closed 0.22% HIGHER. 

NiftyPHARMA Index closed 1.49% HIGHER.
NiftyFMCG Index closed 0.45% Higher.
NiftyIT Index closed 0.45% Lower.

6.0 Daily Movement of the  Front line  Stocks :-

HUL Closed 3.67% Higher.
SunPharma closed 2.22% Higher. 
Reliance closed 1.97 % HIGHER

TataSteel Closed 0.91% HIGHER. 
TataMotor closed 0.5% HIGHER.
SBIN closed  0.18% Higher.
Infosys CLOSED 0.18% 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 :-

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

9.0 Derivative Stock with Extra-ordinary price movement :

             Not Any in today's trade.

10.0 Daily Turnover on NSE :-

On NSE, Turnover in Equity segment was 11,646 Crore INR which was LOWER than previous session; Turnover in Derivative segment was 2,83,039 crore INR LOWER than previous session. 

11.0 FIIs/DIIs Daily Activity :-

As per EoD provisional statistics, FII/FPIs SOLD equity worth 656 Crore INR (net), whereas DIIs Bought equity worth 597 crore INR(net).

12.0 Important Development during the Day :-

Earlier, Asian Stock Market closed FLAT. 
Later on, major European and USA stock markets closed in GREEN. 
For Indian Stock market, current week started today is important because, 
    (a) this is the last week before Union Budget for next financial year 2016-17 in Next week. 
    (b) Feruary'16 or Near Month Expiry Derivative contracts will expire on 25-February16.

Looking to the Trading Volume Data (Decreasing trend) and Decreasing trend in Option Implied Volatility (IV), it seems that Indian Markets are nervous and waiting for Budget proposal to be presented in Parliament. Meanwhile FIIs continued to SELL and DIIs is absorbing the that SELLING.

13.0 Way Ahead :-

At the end of session, India Vix is placed in GREEN near to 20. NSE ADR is placed at 1.33. Both these together indicates NEUTRAL 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 :  23th-February 2016 04:30 Hrs (Indian Standarad TIme).