25th April' 2022 (Evening)

25th April' 2022 (Evening)  --  | Written at 11.00 PM |

  • The pressure built up by the heavy selling in US on Friday, kept a lid on the global markets today. Asia was unanimously red and Europe also closed in red. 
  • Our markets turned out to be resilient and held their supports for the day. A positive sign as i see it. Nifty held its support at 16800 and Bank Nifty in fact recovered from its lows and closed in green. A standout amongst the ruckus today.
  • As expected and mentioned in my notes yesterday, ICICI Bank results helped clear haze and gave confidence to investors in Banking stocks. After the initial anxiety, almost all major banks closed in green today.
  • Lets look at the levels before i give comments further 


  • So after holding the supports today, there is a hope that the markets may make a come back to its Friday close levels tomorrow. This possibility is higher on Bank Nifty. As Bank Nifty seems to be stronger on the charts. The news and sentiment due to ICICI Bank helps support this.
  • However, the markets are still news driven and Global Cues are important to give confidence to the investors. Remember, the Indices are still in a negative trend and a sell on rise market. Unless critical resistance at 17200 for Nifty is achieved on a closing basis a possibility of a strong short covering is difficult.
  • With all major banks closing strong, Bank Nifty seems to be strong. Bank Nifty however needs to close above 36300 to start making some gains. This may happen soon if the Global sentiments support. 
  • Thought he US 10 Year yields have easesd a bit, the Dollar Index at 101.7 is still a concern. 
  • On the other hand oil has eased to 100.5 USD. This could support us tomorrow.
  • Options OI indicate a strong resistance at 17000 for Nifty and 36000 for Bank Nifty. 
  • A rise in India VIX to above 21 indicates return of fears and this is obvious from the Options OI and charts.
  • The auto sector seems to be strong with Maruti specially seems to be ready to breakout. A close just below its resistance for two days, indicates a breakout could be strong and ferocious. 
  • Watch for US close today and opening of US futures tomorrow. It would be instrumental in framing sentiments.
  • Results watch for tomorrow - Bajajfinance
  • All in all I would maintain a positive bias for tomorrow. Lets see...

1. FII were net sellers for 3302 Cr today, while DII were Buyers for 1870 Cr. A net selling of 1432 Cr from the institutional side.

2. FII's created 8763 longs and created 23528 shorts on the index futures

3. On the option front FII  created 2403 short calls and   created 77985 short puts. They also unwound 21050 long calls and  created 57654 long Puts.

4. For next week expiry, Nifty has the highest OI for PE at 16000 followed by 17000 and highest OI for CE is at 17500 followed by 17200. Highest Put writing was seen at 16900 and highest call writing was seen at 17000 levels.

5. For the next week expiry, Bank Nifty has the highest OI for PE at 36000 followed by 35500 and highest OI for CE is at 37000 followed by 36500. Highest Put writing was seen at 36000 and highest call writing was seen at 36000 levels. 

6. Asian markets closed in red and Europe also trading in red

7. US markets trading in red as of now

8. The breadth of the market was extremely weak today

9. Nifty opened at 17009 and made an intra day high of 17054 and a low of 16888 before closing at 16953 .The range of Nifty for the day was 166 points.

10. Bank Nifty opened at 35792 and made an intra day high of 36270 and a low of 35511 before closing at 36082 .The range of Nifty for the day was 759 points.

11. US Dollar Index is at 101.752

12. led by Realty and Metals, except Bank Nifty almost all sectors closed in red.

13. India VIX increased to 21.2575

14. US 10Y yields are at 2.793

15. Nifty futures saw short buildup

16. Bank Nifty futures saw long buildup

17. US Brent oil eased to 100.53

18. USD / INR increased to 76.551

 

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