Dalal St Daily 8 th september

 GLOBAL MARKETS

  • US markets ended up in positive territory. US markets are up by 1.7%.
  • The rally was powered by airline stocks.
  • Dow futures were up by 500 points as the Trump called for targeted stimulus measures.
  • Dollar Index is @93.66
  • Brent Crude is trading @42.1

DOMESTIC MARKETS

  • Asian markets opened on a higher note following the strong global cues.
  • SGX Nifty is trading @ 11800. SGX Nifty had also  broke 11820 level and trading above 11800, which indicates a positive opening for our markets.
  • Indian markets are set open higher following the global cues.
  • Yesterday Nifty ended up in the positive territory closing 76 points above. approaching near to its crucial resistance 11800.
  • The resistance of 11800 will be easily taken out and markets are clearly in the move to touch 12000 and create fresh highs.
  • Nifty rallied fro 800 points from the low of 10793 without the help of Reliance. And today after the TCS and HDFC twins rally in previous trading sessions reliance started rallying today. which alone lifted the sentiment in the market.
  • Bank Nifty stocks are extremely bullish and short coverings have taken the market till now.
  • Bank Nifty alone can add up 400 points for Nifty if Bank Nifty is rallying towards its recent highs.
  • Bank Nifty is taking support near 22800 levels.
  • TCS came out with their results today.
    • Revenue @40,135 Cr, ( +4.7% QoQ ),( 3% YoY ).
    • Net Income @8,433 Cr, ( +20.3% QoQ ), (+4.9% YoY)
    • Operating margin expands 2.2% YoY to 26.2% ; Net margin @21%
    •  
    • Net profit declined by 7% to 7457 Cr from 8042 Cr in the
  • The board has approved for share buy back 5,33,33,333 being 1.42% fully paid up shares @ 3000 per equity share for an aggregate amount not exceeding more than 16,000 crore exlcuding tax and related expenses.
  • Nifty sustained all gap ups for 5th straight session and managed to close higher.
  • Nifty nearly moved 1000 points with in 6 trading session with an average of 160 points per trading session.
  • Today being the weekly expiry we may expect some consolidation near the resistance level  in the morning session and may see some volatility post 12.
  • The broader market under performed Nifty. Nifty Mid cap Index was down by 0.5%.
INDEX CONTRIBUTORS

  • RELIANCE, INFOSYS, HDFC Twins pulled the market higher whereas 
  • BAJAJ Twins, KOTAK Bank, SUN PHARMA dragged the market down


TRADING RANGE

  • Nifty may trade between 11600-11950
  • Bank Nifty may trade between 22400-23500 
  • Bank Nifty will be very volatile today.

OI ANALYSIS

CALLS
  • Maximum OI on the CALL side was seen @12000 strike with 19 lakh contracts.
  • Call writing was seen at 12300 levels
  • Call unwinding was seen at 11600 levels.
PUTS
  • Maximum OI on the PUTS side was seen @11000 strike with 25 lakh contracts. 
  • Put writing was seen at 11700 levels.
  • Put unwinding was seen at 11200 level.
Max Pain is @11400 level.


BUILT UP
  • Reliance saw some huge short covering in its OI data.
  • Bank Nifty experienced some kind of Short Covering yesterday.
  • Long Unwinding was seen in media, NBFC, metal and telecom sector.
  • Short Covering was seen in cement, auto, oil and FMCG stocks.
  • Capital goods and Pharma stocks are under selling pressure and are short.
  • IT, private Banks, Bank Nifty stocks are under buying pressure and are long.








Thank You

SHARATH

Location: Bengaluru, Karnataka, India

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