Automobile sales figures were released on 1st November and except Maruti no other vehicle manufacturer (all segments) clocked increase over same month previous year. Experts say this could be due to special Diwali discounts offered by company. GST collections dropped and we reached 92.6% of budget estimated fiscal deficit in fist six months of FY19-20. Core sector output for September 2019 shrinks to 5.2 % (read -5.2%) as compared to September 2018, when the same figure was 4.3% (so actually it went down by whopping 9.5%). But despite all this bad news, markets are not showing any signs of slowdown. Let's check the usual data.
1) FII & DII data: Provisional figures for Friday show that FIIs were Net buyers by 533.37 Crs and DIIs were Net Sellers by 136.5 Crs. Final figures for last thursday show that FIIs were net buyers in equity (2038 Crs) and stock futures (1368.68 Crs) but net sellers in index futures (343 Crs). FIIs are now buying and deciding market's direction.
2) Option chain data: At 11900 strike, near CMP, there is a tussle going on (which can be seen on charts as well). On PUT side, total OI is 14.58 lakhs and fresh Put writing is 6.38 lakhs and on the other hand on CALL side, total OI is 18.42 lakhs and fresh call writing is 4.68 lakhs. Highest total OI (20.87 lakhs) and highest fresh Put writing (7.43 lakhs), both, are at 11800 strike on PUT side. On CALL side, highest total OI (21.15 lakhs) and fresh Call writing (7.10 lakhs) are seen on 12000 strike. So if Nifty closes past 11900, 12000 is in sight.
3) Charts: On daily charts, Nifty closed as a doji candle with lower low and lower high. on 15 min chart, there is a resistance at 11945. On a weak day, Nifty can come down from there but I am not advocating selling at that level because Banknifty is bullish and it can take Nifty up. So people who are already long on Nifty should watch at 11945 level and can exit if nifty doesn't go past it. Again no clear levels for trades in Nifty so trades will depend on tomorrow's moves.
All the best. Happy trading.
1) FII & DII data: Provisional figures for Friday show that FIIs were Net buyers by 533.37 Crs and DIIs were Net Sellers by 136.5 Crs. Final figures for last thursday show that FIIs were net buyers in equity (2038 Crs) and stock futures (1368.68 Crs) but net sellers in index futures (343 Crs). FIIs are now buying and deciding market's direction.
2) Option chain data: At 11900 strike, near CMP, there is a tussle going on (which can be seen on charts as well). On PUT side, total OI is 14.58 lakhs and fresh Put writing is 6.38 lakhs and on the other hand on CALL side, total OI is 18.42 lakhs and fresh call writing is 4.68 lakhs. Highest total OI (20.87 lakhs) and highest fresh Put writing (7.43 lakhs), both, are at 11800 strike on PUT side. On CALL side, highest total OI (21.15 lakhs) and fresh Call writing (7.10 lakhs) are seen on 12000 strike. So if Nifty closes past 11900, 12000 is in sight.
3) Charts: On daily charts, Nifty closed as a doji candle with lower low and lower high. on 15 min chart, there is a resistance at 11945. On a weak day, Nifty can come down from there but I am not advocating selling at that level because Banknifty is bullish and it can take Nifty up. So people who are already long on Nifty should watch at 11945 level and can exit if nifty doesn't go past it. Again no clear levels for trades in Nifty so trades will depend on tomorrow's moves.
All the best. Happy trading.