16th Jun' 2021 (Evening)

16th Jun' 2021 (Evening)

  • Markets opened today on a day with nothing important or phenomenal on the global cues. The FED outcome today is being eyed eagerly. Considered as one of the most important FED meets in recent times, our markets would react to the outcome tomorrow.
  • Most important clue being looked into this is a statement on tapering and any indication on the timing of interest changes if any. This would set the tone for market globally.
  • As is normally the case, markets enter the FED meet with long positions, however, this time this does not seem to be the case. 
  • In our markets, while the FII are still long in FnO side with a ratio of 72:28, they have lightened their positions over the last days from a ratio of 85:15.
  • They also sold in cash market to the tune of 800 Cr and were supported by a selling of 800 Cr from the DII side as well.
  • FII also created positions in the Options side as well, they sold 4 times more calls than puts.
  • On the charts, both Nifty and BankNifty made bearish candles and more or less gave away the gains of last two days. They are however, still above the lows made day before yesterday. These levels are critical, Nifty 15606 and bankNifty 34374. 
  • Till these levels are breached, markets have a strong possibility of making a bounce. However, there is a strong resistance for Nifty above 15800 and upto 15900 and for BankNifty  35400-35700
  • Market positioning continues to be overbought in short term.

  • For tomorrow, the key is in the FED outcome and the US close today. Lets watch that as we wake up tomorrow.
  • Covid cases and reopening are no more important for the markets cues now.

1. FII were net sellers for 870 Cr today, while DII were sellers for 874 Cr. A net selling of 1774 Cr from the institutional side.

2. FII's unwound 4468 longs and created 1132 shorts on the indices

3. On the option front FII  sold 44829 calls and   sold 11188 puts. They also bought 35037 calls and  bought 38151 Puts.

4. For next week expiry, Nifty has the highest OI for PE at 15700 followed by 15600 and highest OI for CE is at 15900 followed by 15800. Highest Put writing was seen at 15600 and highest call writing was seen at 15800 levels.

5. For the next week expiry, Bank Nifty has the highest OI for PE at 35000 followed by 34500 and highest OI for CE is at 35000 followed by 35500. Highest Put writing was seen at 35000 and highest call writing was seen at 35000 levels. 

6. Asian markets closed mixed and Europe closed mixed

7. US markets trading cautiously and with a negative bias

8. The breadth of the market was extremely weak

9. Nifty opened at 15847 and made an intra day high of 15880 and a low of 15742 before closing at 15767 .The range of Nifty for the day was 138 points.

10. Bank Nifty opened at 35196 and made an intra day high of 35380 and a low of 34916 before closing at 35003 .The range of Nifty for the day was 464 points.

11. US Dollar Index is trading at 90.523

12. Except FMCG and IT all sectors closed in red

13. India VIX increased to 14.87

14. US 10Y yields are at 1.491

15. Nifty futures saw long unwinding

16. Bank Nifty saw short buildup


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