More Stories

Informist, Tuesday, Dec. 24, 2024

By Anshul Choudhary

MUMBAI – Options data show benchmark equity indices are likely to move in a range this week in the absence of major triggers and lower flows from foreign investors due to long holidays. Indian markets will be shut for trading on Wednesday on account of Christmas, while several countries will see extended holidays till the new year.

The Nifty 50 is likely to move in a range of 23500-24000 points this week. However, some analysts said the index may find it difficult to cross even 23800-23850 levels due to concerns about a slowdown in earnings growth. "The sentiment stays weak, with intraday recoveries facing selling pressure and no strong positive momentum in sight," Osho Krishnan, senior technical and derivate analyst at Angel One, said in a note.

The options data shows a similar caution among traders, who sold call options. For call options, the highest open interest was at the 24000 strike price, indicating a resistance at just 1% higher than the current levels.

The premium on 23800 calls fell 32% to INR 51.20 and that of 24000 calls declined 15% to INR 13. The Nifty 50 closed at 23727.65 points on Tuesday, down 0.1% from the previous close.

On the put side, the highest open interest was at 22000 strike prices, followed by 23500. Anticipating a slightly positive bias going ahead after the index fell 5% last week, some traders likely covered their short positions at 23500 puts as open interest at the strike price declined.

--Nifty 50 Dec closed at 23772.15, up 2.40 points; 44.50-point premium to spot index

--Nifty 50 Jan closed at 23938.45, down 3.05 points; 210.80-point premium to spot index

--Nifty 50 Feb closed at 24084.20, up 3.40 points; 356.55-point premium to spot index

Reliance Industries, HDFC Bank, ICICI Bank, Bharti Airtel, State Bank of India, Infosys, Tata Motors, Axis Bank, Kotak Mahindra Bank, Bajaj Finance, and ITC were the most actively traded contracts.  End

Edited by Saji George Titus

For users of real-time market data terminals, Informist news is available exclusively on the NSE Cogencis WorkStation.

Cogencis news is now Informist news. This follows the acquisition of Cogencis Information Services Ltd by NSE Data & Analytics Ltd, a 100% subsidiary of the National Stock Exchange of India Ltd. As a part of the transaction, the news department of Cogencis has been sold to Informist Media Pvt Ltd.

Informist Media Tel +91 (22) 6985-4000

Send comments to feedback@informistmedia.com

© Informist Media Pvt. Ltd. 2024. All rights reserved.