& Analysis 4/10/2021
STOCK MARKET TODAY ANALYSIS
Nifty started with a bullish run today due to the rise of 482 points in Dow jones and follow up buying was also seen. The sectors which were performing from the beginning were banks, NBFC , pharma, cements. The correction in Nifty which came just 2 days ago was 17450, from that Nifty has bounced back and now it is moving towards breaking its life time high which was 17943 made on 27 September 2021 .From here onwards BankNifty is expected to pick up pace as BankNifty has always been a little behind in this bull run as compared to Nifty and now it is also believed that this quarter Banks’ results are going to be very good.
Nifty closed at 17691 today with a gain of 159 points. There was a strong rise of 533 points inside the Sensex. Sensex gave its closing at 59299. Banknifty managed to close at 37579 with a strength of 353 points.
Open interest data analysis
NIFTY
CALL PUT
Max OI 18000 17600
OI CHANGE 17800 17600
As seen in the options data, the highest open interest is on the call side at the strike of 17800 and the highest open interest in the intraday is at the strike of 18000.Meaning that the Options Writters are seeing a rise of 17800-18000 in Nifty. So they are not selling calls anywhere between 17700 – 17750 . Highest PUT writing has happened for the 17600 strike, which means that the market expects the market not to fall below 17600 in the coming days.
BANKNIFTY
CALL PUT
Max OI 38000 37500
OI CHANGE 37600 37500
Banknifty support which is coming out is 37500 Means Option Writer Monthly and Weekly is selling PUT of 37500 and resistance is showing till 37600- 38000. If Banknifty breaks above 38000 then it will be a very good breakout.Banknifty has the highest PUT writing of 37500 strike, which means that the market expects Banknifty will not come below 37500 in the coming days.
Today the biggest rally was seen in the metal sector.
Top 3 Sector Perfomance today
NIFTY METAL : 2.99%
NIFTY MEDIA : 2.6%
NIFTY REALTY : 2.17%
NO LOSING SECTOR TODAY
NIFTY PULLERS
STOCK NAME LTP %CHANGE POINTS CONTRIBUTION
RELIANCE : 2556 1.29% 25.24
ICICIBANK : 700.20 1.13% 12.23
INFY : 1678.75 0.82% 11.99
BAJAJFINANCE : 7695.05 2.29% 10.98
TCS : 3773.30 1.16% 10.90
NIFTY DRAGGERS
CIPLA 957.50 -2.91% -3.51
GRASIM 1641.15 -2.15% -3.42
HINDULIVER 2686.20 -0.66% -3.07
INDUSTOWER 304.65 -3.47% -2.24
UPL 702.95 -1.36% 1.28
In the coming days, RBI’s monetary policy is also there ON 8th October , on which the eyes of the entire market are fixed. There is little hope that RBI will reduce or increase interest rates. RBI’s commentary will be most important. Inflation, growth, GDP, how long RBI can increase interest rates, it will be very important to know what RBI says above all this.
The Q2 earnings season is also about to begin, with the lockdown open, the economy activity is showing a recovery and its impact will be seen in the Q2 earnings as well.
TECHNICAL VIEW of NIFTY
As long as Nifty is holding above 17500 then there is no need to panic. Because 17500 Nifty has 20 EMA support
Banknifty’s 20 EMA is 37500, above this, as long as there is banknifty, long positions can be CARRY in banknifty.