NIFTY FORMING HIGHER HIGHS - HIGHER LOWS
Nifty index opened positive but remained in a narrow range of 90 points throughout the day. It moved in a lacklustre manner and managed to close above 22350 zones along with sector specific action across the street. It has formed a small bodied Bearish candle on daily frame and has been forming higher highs - higher lows from the last two sessions. Now it has to hold above 22350 for an up move towards 22500 then 22600 zones whereas supports are placed at 22222 then 22100 zones.
India VIX was down by 19.72% from 12.70 to 10.20 levels. Volatility dropped to record low levels as geopolitical tension eases and the market discount in no fear.
On Option front, Maximum Call OI is at 22400 then 22600 strike while Maximum Put OI is at 22100 then 22300 strike. Minor Call writing is seen at 22400 then 22500 strike while Put writing is seen at 22100 then 22200 strike. Option data suggests a broader trading range in between 22000 to 22600 zones while an immediate trading range in between 22200 to 22500 zones.
Bank Nifty Index opened gap by more than 300 points near 48300 levels but failed to hold at higher zones and drifted lower towards 47900 levels. It remained consolidative in a narrow range of 200 points between 47900 to 48100 zones and momentum is missing at higher zones. It formed a small Bearish candle on daily scale and closed with gains of around 45 points. Now it has to continue to hold above 47777 zones for an up move towards 48250 then 48500 zones while on the downside support is seen at 47777 then 47500 levels.
Fin Nifty Index opened gap up by 150 points and consolidated in a narrow band of 70 points for most part of the session as follow up was missing on either sides. It is forming higher highs - highs lows from the past three trading sessions and supports are gradually shifting higher. It formed a Bearish candle on daily chart as it closed below its opening levels. Now till it holds above 21150 levels momentum can be seen towards 21477 then 21627 zones while on the downside support is visible at 21150 then 21000 levels.
Nifty future closed negative with marginal losses of 0.01% at 22354 levels. Positive setup seen in IDEA, ABFRL, AB Capital, MCX, Grasim, Indhotel, Bhartiartl, Ambujacem, IEX, Chamblfert, Torntpharma, RBL Bank, SRF, Tatamotors, Cumminsind, Maruti, Eicher Motor, Colpal, Poly Cab, Escorts, SBIN, IDFC and Voltas while weakness in M&MFin, Sunpharma, OFSS, Abbot India, Lupin and Can Fin Homes.