All eyes are now on more financial results from India Inc for clues.
What do the charts suggest for Dalal Street now?
“There is no indication of a convincing reversal from the lows and further weakness can be expected in the near term,” he warned.
The 50-scrip index gave up crucial support at 17,600, said Shrikant Chouhan, head of equity research (retail) at Kotak Securities.
“The broader market texture remains weak and any further rally is only possible after a break above 17,620,” he added.
Here are the key things to know about the market ahead of the April 13 session:
European stocks started Tuesday’s session on a negative note, tracking weakness in Asian markets. The pan-European Stoxx 600 fell 1.4% in the early morning.
S&P 500 futures jumped 1%, however, suggesting a positive start on Wall Street.
What to expect in Dalal Street
HDFC Securities’ Shetti believes the 50-stock index’s short-term trend is holding negative. The Nifty could find support around 17,300 and should rebound from the lows, he said.
Some volatility can be expected due to the weekly F&O expiration on Wednesday, said Rahul Sharma, co-founder of Equity99 Advisory. He expects IT, banking, oil & gas and metals stocks to be in focus.
Levels to watch
The 50-scrip index closed below its 10-day simple moving average, Kotak Securities’ Chouhan pointed out. “We could see further weakness up to the 17,400-17,350 levels. On the other hand, if the Nifty manages to trade above 17,620, it will rise to 17,700 and 17,800,” said- he declared.
| Period (number of days) | Simple moving average | Signal |
| 5 | 17,687.4 | Bearish |
| ten | 17,708.1 | Bearish |
| 20 | 17,430.4 | Bullish |
| 50 | 17,162.7 | Bullish |
| 100 | 17,299.2 | Bullish |
| 200 | 17,149.7 | Bullish |
Equity99’s Sharma placed resistance and support at the following levels:
| Hint | Support | Resistance |
| Nifty50 | 17,400, 17,310, 17,260 | 17,650, 17,800, 17,990 |
| Clever bank | 37,600, 37,400, 37,200 | 37,820, 37,950, 38,200 |
FII/DII activity
Foreign Institutional Investors (FII) sold net Indian shares worth Rs 3,128.4 crore on Tuesday, according to preliminary trading data. However, domestic institutional investors (DIIs) made net purchases of Rs 870 crore.
According to preliminary exchange data, the maximum call open interest is accrued at the strike price of 18,000, with 1.9 lakh contracts, and the next highest at 17,600 and 17,800, with more of 1.4 lakh each, On the other hand, the maximum put open interest is 17,000, with almost 97,000 contracts.
This suggests immediate resistance at the 17,600-17,800 levels followed by the 18,000 hurdle, and significant support comes in at 17,000.
Long build up
Here are five stocks that have seen an increase in open interest as well as price:
| Symbol | Current IO | CPM | Price change (%) | Change in OI (%) |
| ABCAPITAL | 1,87,39,600 | 118.6 | 1.45% | 11.62% |
| ASTRAL | 7,52,400 | 2,132.90 | 2.08% | 8.74% |
| Recorder | 25,47,820 | 1,933.50 | 2.38% | 7.89% |
| AUBANQUE | 20,38,000 | 1,401.65 | 0.14% | 6.26% |
| BANDHANBNK | 3,55,30,200 | 334.8 | 3.43% | 5.98% |
| Symbol | Current IO | CPM | Price change (%) | Change in OI (%) |
| DELTACORP | 1,51,73,100 | 318.6 | -1.35% | -13.23% |
| HONAUT | 8,100 | 39,802.65 | -1.70% | -8.52% |
| CHAMBLFERT | 29,88,000 | 460.5 | -3.79% | -7.63% |
| ABBOTINDE | 32,300 | 17,933.50 | -1.27% | -5.42% |
| SYNGENE | 12,93,700 | 648 | -2.80% | -5.12% |
(Decrease in open interest as well as price)
Short cover
| Symbol | Current IO | CPM | Price change (%) | Change in OI (%) |
| RBLBANK | 4,96,13,200 | 132.15 | 0.30% | -4.23% |
| NESTLEIND | 2 86 950 | 18,357.25 | 0.01% | -0.95% |
| KOTAKBANK | 1,76,13,200 | 1,807.40 | 1.17% | -0.14% |
(Increase in price and decrease in open interest)
| Symbol | Current IO | CPM | Price change (%) | Change in OI (%) |
| METROPOLIS | 4,56,400 | 2,399.95 | -2.50% | 12.53% |
| UBL | 9,16,300 | 1,549.60 | -1.91% | 12.07% |
| INTELLECT | 13,03,500 | 921.7 | -3.53% | 11.51% |
| BSOFT | 59,82,600 | 464.7 | -6.67% | 10.93% |
| TORNTPOWER | 29,35,500 | 549.85 | -1.53% | 10.88% |
A total of 11 stocks on the BSE 500 – the exchange’s broadest index – hit 52-week highs:
| ADANIVERT | CRISIS |
| ADANITRANS | MAZDOCK |
| ATGL | PAGEIND |
| BDL | SCHAEFFLER |
| CHAMBLFERT | SWANENERGY |
| CREDITACC | 945 |
No stocks in the BSE 500 hit a 52-week low.
The India VIX – known in market parlance as the fear index – fell 0.6% to 18.2 on Tuesday. By late February, Russia’s decision to invade Ukraine had pushed the VIX to a nearly 34-month high in 20 months.
(Edited by : Abhishek Jha)
First post: STI
