21st Sep' 2021 (Evening)

21st Sep' 2021 (Evening)  -- | Written at 11.00 PM |

  • Following a nice recovery in the US markets towards the end of their trading session and strong global cues coming in this morning, we opened decently in green. But then had a roller coaster ride through the day to end fairly strong.
  • Nifty
    • Nifty opened 60 points up and then built up further to make a high of 17578 before being sold off to 17326, recovered strong to close near the day high at 17562.
    • Nifty made a decent bullish candle with a long lower shadow, indicating support at the lower level.
    • Support
      • First support at 17450
      • Second support at 17325
    • Resistance 
      • First resistance at 17625
      • Second resistance at 17670
    • Nifty may open above the first resistance tomorrow. The first resistance is only relevant if Nifty opens below it or gets sold off to below this level immediately after opening.
    • The trading range of Nifty could be between 17325 to 17675 now. Watch for a breach of this range.
  • Bank Nifty
    • Bank Nifty opened apprx 100 points up and got sold off to a low of 36525 before picking up support to make a strong come back to close at 37235. Providing an intraday swing of apprx 800 points on both sides.
    • Bank Nifty made a hammer pattern with an extra long lower shadow, indicating a strong support at the lower levels of the day.
    • Support 
      • First support at 36900
      • Second support at 36500
    • Resistance 
      • First resistance at 37625
      • Second resistance at 37800
    • Bank Nifty has created a trading range of 36900-37625 as of now. However, Bank Nifty still remains a key index to watch. 
  • While Nifty created a stronger price action today, I feel Bank Nifty created a stronger positioning on the futures side. A continuity of this tomorrow may create some strong movements on Bank Nifty.
  • FII made a cash buying of 1000 Cr today and DII complimented by buying for another 3200Cr creating a good momentum from the lower levels of the market today. 
  • FII also created some longs on the Index futures, indicating support at the lower levels of the day. These levels could well be strong base for the market in short term. Nifty 17325 and Bank Nifty 36500.
  • Markets in US are looking at the FED meeting outcome and a shock from US could spoil the setup built up today. Else, i believe the market has created a good base at these levels.
  • The Dollar Index and US yields continue to be in control, so far no surprises there.
  • IT, Metals and realty came to rescue Nifty today and proved strong enough to recover almost all that was lost yesterday.
  • The VIX settled back slightly and gives some comfort to the option sellers. I am sure some of the sellers would have suffered today. 
  • Keep an eye on the Global cues coming in tomorrow morning and then later on the FED.

1. FII were net buyers for 1041 Cr today, while DII were buyers for 2167 Cr. A net buying of 3208 Cr from the institutional side.

2. FII's created 5387 longs and created 1759 shorts on the index futures

3. On the option front FII  sold 28267 calls and   sold 37056 puts. They also bought 44322 calls and  bought 42816 Puts.

4. For next week expiry, Nifty has the highest OI for PE at 17000 followed by 17400 and highest OI for CE is at 18000 followed by 17800. Highest Put writing was seen at 17300-17500 and highest call writing was seen at 17850 levels.

5. For the next week expiry, Bank Nifty has the highest OI for PE at 37000 followed by 36500 and highest OI for CE is at 38000 followed by 39000. Highest Put writing was seen at 36400-37000 and highest call writing was seen at 37000 levels. 

6. Asian markets closed mixed and Europe closed in green

7. US markets trading in green as of now

8. The breadth of the market was positive today

9. Nifty opened at 17450 and made an intra day high of 17578 and a low of 17326 before closing at 17562 .The range of Nifty for the day was 252 points.

10. Bank Nifty opened at 37238 and made an intra day high of 37340 and a low of 36525 before closing at 37235 .The range of Nifty for the day was 815 points.

11. US Dollar Index is trading at 93.207

12. Except auto almost all sectors closed in green

13. India VIX reduced to 16.52

14. US 10Y yields are at 1.321

15. Nifty futures saw short covering

16. Bank Nifty saw long buildup


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