CARNAGE

Once again the markets opened on flat note and immediately entered the negative territory and traded in the same zone for the next two hours, but after the initial two hours it was a one way downward journey and both the indices touched their lowest point of the day, just before the end of the session and ultimately both the indices closed near their lowest point of the day. The Nifty and the Sensex closed down, by 47 and 141 points down respectively. The market breadth was extremely negative with 457 advances to 1008 declines. On the sectoral front, the Energy sector was the biggest loser, followed by the IT, Auto, Banking, Metal & Infra sectors, while the FMCG sector was the sole and the biggest gainer for the day. On the individual stocks front, Tata Power, Kotak Bank, Ranbaxy, ITC and Ambuja Cement were the top five Nifty gainers for the day, while JP Associate, SAIL, Sesa Goa, DLF & Sterlite were the top five Nifty losers for the day. On the institutional side, the FIIs were net buyers to the tune of 143 crores while the DIIs were net sellers to the tune of 240 crores in the cash market.

On the derivatives side, FIIs were net sellers in both Index and Stock futures, to the tune of 7 & 579 crores respectively. Nifty future settled at 5297, with just 9 points premium to the spot, along with a considerable loss of open interest, which is very common on the day, just the day before expiry. On the Options side PCR fell to 0.89 along with a rise in the India VIX by 2.39%. On the Call options side, the 5400 call saw the maximum call writing followed by the 5300 call, while on the Put Option side, there was uniform loss of open interest from the 4600 to 5600 puts. The entire activity in the cash as well as the F&O markets indicates profit booking in the cash markets along with rollover of positions to the next month future and options.

On the technical side, Nifty has broken another crucial support of 5300, and there seems to be no respite from the selling pressure and the only direction for Nifty, is downwards. The levels to watch out for Nifty, will be 5305 & 5327 on the upside and 5265, 5243 & 5237 on the downside. On the currency front the Rupee posted a minor gain today, continuing its range-bound trading ahead of the economic growth data on Friday and the month end oil related dollar buying was offset by selling of dollars by the corporates. The rupee finally closed at 55.62, while the near month USD-INR future settled at 55.94 for the day.

On the international markets front, the Asian and the European markets have closed on a mixed note, while the U.S. markets are trading almost flat. On the energy futures front, the Brent crude oil future is trading almost flat at 112.44 $/bbl, while the WTI crude oil future is trading down by 1.09% at 95.28 $/bbl after the data showed a unexpected rise in U.S. crude oil inventories and the Natural Gas future is trading up by 1.80% at 2.67 $/MMBtu after the data showed more than expected fall in Gasoline inventories.

DOWNTREND

As expected the markets opened on a very flat note, but instantly entered the negative zone and traded range-bound, till the start of the second half of the trading session and from this point onwards the markets fell almost vertically and touched their lowest point of the day within the next two hours, but made a smart recovery and tried to recover their losses, but ultimately both the indices closed near the lowest point of the day. The Nifty and the Sensex closed, down by 16 and 47 points respectively. The market breadth worsened and finally closed with just 352 advances to 1121 declines. On the sectoral front, the Banking sector was the biggest loser, followed by the Metal, Midcap & Auto sectors, on the other hand the FMCG sector was the biggest gainer followed by the IT sector. On the Individual stocks front, Power Grid, TCS, Asian Paint, NTPC & Sun Pharma were the top five Nifty gainers for the day, while Sterlite, Jindal Steel, JP Associate, Hindalco & Sesa Goa were the top five Nifty losers for the day. On the institutional side, the FIIs were net buyers to the tune of a mere 93 crores, while the DIIs were net sellers to the tune of 314 crores in the cash market.

On the derivatives side, the FIIs were net buyers in Index futures to the tune of 434 crores, and net sellers in Stock futures to the tune of a whooping 582 crores. The combined turnover in NSE’s cash and future’s market was 1,74,3163 crores. Nifty future settled at 5346, with just 11 points premium to the spot, along with a massive loss of open interest. On the Options side PCR fell to 1.05, along with a fall in the India VIX by 0.73%. On the Call options side, the 5400 call saw the maximum call writing followed by the 5500,5300 & 4800 calls, while on the Put options side, 5300 put saw the maximum put writing, followed by the 5100, 5200 & 5000 puts. The entire activity in the cash as well as the F&O markets shows massive profit booking, along with some opportunistic call and put writing, just before the F&O expiry on Thursday.

On the technical side, Nifty broke the crucial support level of 5350, and looking at the sell figures in the cash as well as the futures markets, there seems to no letup in the selling pressure and the levels to watch out for Nifty will be 5358, 5382 on the upside and 5311, 5297 & 5264 on the downside. On the currency front the Rupee closed almost unchanged as gains in the euro provided support, although worries about a slowdown in the domestic economy, continued to weigh on the Rupee. The rupee finally settled at 55.66, while the near month USD-INR future settled at 55.67 for the day.

On the international markets front, the Asian and the European markets have closed in the red, while the U.S. markets are trading with very little change, on the back of mixed economic data and anxious wait for the Fed chairman’s speech on economy, three days from today. On the energy futures front, the Brent future is trading almost flat at 112.25 $/bbl, while the WTI future is trading up by 0.78% at 96.19 $/bbl and the Natural Gas future is trading down by 1.14% at 2.64 $/MMBtu.

COLLAPSE

The benchmark indices opened on a mildly positive note, but within just half an hour of the opening, the markets lost all their gains and entered the negative zone and from this point onwards, there was no looking back and the markets corrected with ferocity, which gained strength as the session progressed and ultimately both the indices closed near their lowest point of the day. The Nifty and the Sensex closed down, by 36 and 104 points respectively. The market breadth turned extremely negative with 444 advances to 1037 declines. On the sectoral front, the Banking sector was the biggest loser, followed by the IT, Infra & Midcap sectors, while the FMCG and the Energy sectors were the only sectors, which managed to close in the green. On the individual stocks front, M&M, Power Grid, Cairn, Reliance industries and Sun Pharma were the top five Nifty gainers for the day, while Jindal Steel, PNB, IDFC, Axis Bank & DLF were the top five Nifty losers for the day. On the institutional side, FIIs were net buyers to the tune of 200 crores, while the DIIs were net sellers to the tune of a, whooping 501 crores in the cash markets.

On the derivatives side, the story was almost same where FIIs were net buyers in Index futures to the tune of 383 crores and net sellers in Stock futures to the tune of 550 crores. Nifty future settled at 5362 with just 12 points premium to the spot, along with a massive loss of open interest. On the Options side, PCR fell to 1.09, along with a rise in the India VIX by 1.92%. On the Call options side, the 5400 call saw the maximum call writing followed by the 5300 call, while there was uniform loss of open interest from the 4600 to 5600 calls. On the Put options side, with a exception of the 5300 put, there was uniform loss of open interest from the 4600 to 5600 puts. The entire activity in the cash as well as the F&O space indicates massive profit booking in the absence of any fresh triggers for the market, which has been aggravated by the rollovers in the futures segment.

On the technical side, Nifty closed at the crucial level of 5350, but the intensity of the fall, particularly in the large cap stocks in the last few sessions has put the uptrend in jeopardy, and without the support of these key components, Nifty will find it difficult to scale past the 5400 mark and resume the uptrend. Going forward the levels to watch out for Nifty, will be 5384, 5418 & 5437 on the upside and 5326, 5295 and 5278 on the downside. On the currency front, the Rupee fell to its lowest level in a week as oil refiners brought dollars and on growing concerns that the deadlock in the parliament will delay the passage of policy reforms. The Rupee finally settled at 55.69, while the near month USD-INR future settled at 55.68 for the day.

On the international markets front, the Asian markets closed on a mixed note, while the European markets have closed on a very strong note, and the U.S. stocks are trading in the green, after Apple, the world’s most valuable company rallied after winning a crucial patent case against it arch rival Samsung. On the energy futures front, both the Brent and WTI crude oil futures are trading down by 1.25% at 112.20 & 94.94 $/bbl respectively, while the Natural Gas future is trading down by 1.90 % at 2.68 $/MMBtu.

BREATHLESS

The markets finally cracked after two consecutive dull sessions and opened on a negative note, and the market breadth worsened as the session progressed and ultimately both the indices closed on a flat note, for the week. The Nifty and the Sensex closed, down by 29 and 67 points respectively. The market breadth was extremely negative with 491 advances to 972 declines. On the sectoral front, the Banking sector was the biggest loser, followed by the Energy, Midcap and IT sectors. On the individual stocks front, Coal India, ONGC, BPCL, Sesa Goa & Maruti were the top five Nifty gainers for the day, while DLF, Rel Infra, JP Associate, Tata Steel & Jindal Steel were the top five Nifty losers for the day. On the institutional side, FIIs were net buyers to the tune of 226 crores, while the DIIs were net sellers to the tune of 357 crores in the cash market.

On the derivatives side, FIIs were net buyers in Index futures, to the tune of 147 crores and net sellers in Stock futures, to the tune of a massive 572 crores. Nifty future settled at 5403, with just 16 points premium to the spot, along with a considerable loss of open interest. On the Options side, the PCR remained constant at 1.28, along with a marginal rise in the India VIX by 0.25%. On the Call options side, except the 5500 call, there was uniform loss of open interest from the 4600 to 5600 calls, for the third consecutive sessions. On the Put options side, the 5300 put added the maximum open interest, followed by the 5100 & 5200 puts, on the other hand the 5400 put lost the maximum open interest, followed by the 5500 & 5000 puts. The entire activity in the cash as well as the F&O space indicates liquidation of longs in the cash well as the F&O markets, but there has been no meaningful addition of shorts, to exert downward pressure on the markets. Going forward, next week being an F&O expiry week, much of the market movement will depend on the liquidity flow in the markets.

On the technical side, Nifty could not hold on to the 5400 mark, but it is too early to indicate a downtrend and going forward, much of the direction will depend on the news flow and liquidity levels in the market. The levels to watch out for Nifty, will be 5401, 5415 & 5436 on the upside and 5372, 5357 & 5324 on the downside. On the currency front, the Rupee finally fell on Friday, after four consecutive sessions of gains, as profit booking hit global risk assets and political deadlock in the parliament, faded hopes of any substantive policy reforms. The rupee finally settled at 55.49 for the week, while the near month USD-INR future settled at 55.48 for the week.

On the international markets front, the Asian markets closed deeply in the red, while the European markets managed to close in the green, and the U.S. markets pared their losses and managed to close with decent gains after the Fed chairman said there was “scope for further action”, increasing speculation that the central will take measures to boost economic growth. On the energy futures front, the Brent crude oil future closed down by 1.23% at 113.59 $/bbl and the WTI crude oil future closed down by 0.12% at 96.15 $/bbl, while the Natural Gas future closed by 3.57% at 2.70 $/MMBtu.

LACKLUSTER

The markets opened on a mildly positive note and gradually gained strength as the session progressed and touched their intraday highs, within one hour of the second half of the trading session, but from this point onwards the markets started falling and with just one hour left for the end of the session, the markets touched their lowest point of the day, but ultimately managed to enter the positive zone and close almost flat till the end of the session. The market breadth also turned negative, with 663 advances to 813 declines. On the sectoral front, the FMCG sector was the biggest gainer, followed by the IT & Pharma sectors, on the other hand, the Energy sector was the biggest loser, followed by the Auto sector. On the individual stocks front, Cairn, Ranbaxy, TCS, Wipro & Infosys were the top five Nifty gainers for the day, while M&M, Rel Infra, LT, Reliance Industries & ONGC were the top five Nifty losers for the day. On the Institutional side, FIIs were net buyers to the tune of 312 crores, while the DIIs were net sellers to the tune of 161 crores in the cash market.

On the derivatives side, there was hardly any activity and the FIIs were net sellers in both Index and Stock futures to the tune of a mere 4 & 77 crores respectively. Nifty future settled at 5427, with just 12 points premium to the spot, along with a moderate loss of open interest. On the Options side PCR remain constant at 1.28, along with a marginal rise in the India VIX by 0.75%. On the Call options side, except the 5500 call, there was uniform loss of open interest from the 4600 to 5600 calls, for the second consecutive session. On the Put options side, the story was same, with a exception of the 4900 call there was uniform loss of open interest from the 4600 to 5600 puts. The entire activity in the cash as well as the F&O markets indicates liquidation of some long positions, after the weak sentiment in the international markets, forced investors to take some profits off the table.

On the technical side, Nifty somehow managed to cling on to the 5400 mark, with slight increase in volumes, and looking at the combination of several technical indicators & F&O data, I still feel that there is still some room left for Nifty to move upwards. The levels to watch out for Nifty, will be 5441, 5475 & 5499 on the upside and 5389, 5359 & 5334 on the downside. On the currency front the Rupee strengthened to its highest level in two weeks, as a part of shift into global risk assets, but the gains were capped as domestic shares retreated late in the session. The rupee benefited as the dollar was broadly under pressure, sending euro to a seven week high, after U.S. Federal Reserve’s last meeting, indicated a move towards more monetary stimulus measures. The rupee finally settled at 55.26, while the near month USD-INR future also settled at 55.26 for the day.

On the international market front, the Asian markets closed on a mixed note, while the European markets have closed in the red, and the U.S. markets are also trading with losses, on the back of mixed economic data like increase in jobless claims and rise in new home sales and the same time concerns that the European leaders will fail to solve the region’s debt crisis. On the Energy futures front, the Brent crude oil future is trading almost flat at 114.81 $/bbl and the WTI crude oil future is trading down by 1.19% at 96.10 $/bbl, while the Natural gas future is trading down by 2.67% at 2.75 $/MMBtu, after the data showed an unexpected rise in U.S. Natural gas inventories.

MUTED

The markets opened on a negative note and continued to trade with a negative bias throughout the day, except for a brief period when the markets managed to recover all their losses and traded in the positive zone for close to an hour, but eventually slipped once again and closed near their lowest point of the day. The market breadth also closed on a negative note with 676 advances to 815 declines. On the sectoral front, there was hardly any activity, but still the Energy sector was the biggest loser, followed by the Midcap and Infra sectors. On the individual stocks front, Ranbaxy, BPCL, Bank of Baroda, Infosys & Dr. Reddy were the top five Nifty gainers for the day, while Bharti Airtel, Sesa Goa, Sterlite, IDFC & PNB were the top five Nifty losers for the day. On the institutional side, FIIs were net buyers to the tune of 97 crores, while the DIIs were net sellers to the tune of 230 crores in the cash market.

On the derivatives side, FIIs were net buyers in Index futures to the tune of 184 crores, and net sellers in Stock futures to the tune of 214 crores. Nifty future settled at 5431, with 18 points premium to the spot, along with a moderate fall in open interest. On the Options side, PCR increased to 1.28, along with a fall in the India VIX by 1.84%. On the Call options side, with an exception of the 5500 call, there was uniform loss of open interest from 4600 to 5600 calls. On the Put options side, the 5400 put added the maximum open interest, followed by the 5200 & 5500 puts, while the 5000 put lost the maximum open interest, followed by the 4900 & 4800 puts. The entire activity in the cash as well as the F&O markets indicates, mild profit booking and further hedging of long positions.

On the technical side, Nifty once again managed to close above the 5400 mark, albeit on falling volumes but still it is trading above most of its short and long term exponential moving averages and not much is to be read in today’s fall, unless this trend continues for few more sessions. The levels to watch out for Nifty will be 5432, 5449 & 5471 on the upside and 5393, 5374 & 5342 on the downside. On the currency front, the Rupee rose marginally in lackluster trade as a nationwide bank strike affected volumes but small dollar sales from foreign banks and a steady euro helped the rupee notch up some gains. The rupee finally settled at 55.49, while the near month USD-INR future settled at 55.50 for the day.

On the international market front, the Asian and the European markets have closed deep in the red, and the U.S. markets are also trading in the red, on the back of disappointing economic data and anxiety before the release of Fed minutes for clues of future monetary policy. On the energy futures front, both the Brent and WTI crude oil futures are trading almost flat, after the data showed a unexpected fall in the U.S. crude oil inventories. The Brent and WTI crude oil futures are trading at 114.50 & 97.01 $/bbl respectively, while the Natural gas future is trading up by 1.05% at 2.80 $/MMBtu.

BREAK OUT

The benchmark indices opened on a flat note, but gradually gained momentum and traded with a strong positive bias throughout the day, but with just one hour left for the end of the day’s session, the markets made a almost vertical ascent and touched their intraday highs and ultimately both the indices closed near their highest point of the day. The market breadth which was evenly balanced throughout the day, turned positive with 815 advances to 673 declines. On the sectoral front, the IT sector was the biggest gainer, followed by the Energy, Auto, Banking and FMCG sectors. On the individual stocks front, Sterlite, Sesa Goa, DLF, NTPC & Ambuja Cement were the top five Nifty gainers for the day, while Bharti Airtel, Hindalco, PNB, Cairn & Hero Motocorp were the top five Nifty losers for the day. On the institutional side, strangely there was very little activity with FIIs turning net buyers to the tune of a mere 141 crores, while the DIIs were net sellers to the tune of 142 crores in the cash market.

On the derivatives side, the story was same with FIIs turning net buyers in both Index and Stock futures to the tune of 264 & 19 crores respectively. Nifty future settled at 5442, with 21 points premium to the spot, along with a considerable addition of open interest. On the Options side, PCR increased to 1.25, along with a increase in the India VIX by 3.62%. On the Call options  side, the 5300 call lost the maximum open interest, followed by the 5200 & 5400 calls, while the 5500 call added the maximum open interest. On the Put options side, the 5400 put added the maximum open interest, followed by the 5300, 5500 & 5200 puts. The entire activity in the cash as well as the F&O markets indicates addition of fresh longs, along with profit booking on the call options side and put writing at higher levels to hedge the long positions.

On the technical side, Nifty finally managed to break the 5300 range and comfortably closed above the 5400 mark, with slight increase in volumes. As suggested in the last report, finally the much expected up-move has happened after a good consolidation and much of it will depend on the newsflow and international market trends over the next few sessions. The levels to watch out for Nifty will be 5441, 5465 & 5498 on the upside and 5384, 5347 & 5327 on the downside. On the currency front the Rupee strengthened to its highest level in more than a week, on the back of gains in the domestic equity markets and Euro and also lack of dollar demand from the oil firms. The rupee finally settled at 55.56 while the near month USD-INR future settled at 55.58 for the day.

On the international markets front, the Asian markets have closed on a very flat note, while the European markets have closed with decent gains, and the U.S. markets are trading with minor losses. On the energy futures front, the Brent crude oil futures climbed to a three month high on speculation that the European leaders will make progress in resolving the region’s debt crisis this week. The Brent and WTI crude oil futures are trading with gains close to a percent, at 114.67 & 97.15 $/bbl respectively, while the Natural gas future is also trading up by 1.37% at 2.81 $/MMBtu.

INFLECTION POINT

The markets opened a positive note, and touched their intraday highs at the start of the second half of the trading session, but from that point onwards, the markets lost all their gains within the next one hour and entered the negative zone to touch their intraday lows. The markets stayed in the negative zone, for almost half an hour and were able to recover and close almost flat. The Nifty and the Sensex closed, up by 3 and 126 points respectively. The market breadth was extremely negative, with 681 advances to 818 declines. On the sectoral front, the FMCG sector was the biggest gainer, followed by the IT, Auto and Pharma sectors. On the individual stocks front, Tata Motors, Hind Unilever, Infosys, ITC & TCS were the top five Nifty gainers for the day, Jindal Steel, Tata Power, Rel Infra, DLF & Hindalco were the top five Nifty losers for the day. On the institutional side, both the FIIs and DIIs were net buyers to the tune of 308 and 40 crores respectively in the cash market.

On the derivatives side, the FIIs were net buyers in Index futures to the tune of 279 crores, and net sellers in Stock futures to the tune of 166 crores respectively. Nifty future settled at 5382, with16 points premium to the spot, along with a moderate fall in open interest. On the options side, the PCR marginally increased to 1.16, along with a marginal increase in the India VIX by 0.25%. On the Call options side, the 5300 call added the maximum open interest, followed by the 5400 & 5500 calls, while the 5100 call lost the maximum open interest. On the Put options side, the 5400 put added the maximum open interest, followed by the 5300 & 5500 puts, while the 5100 put lost the maximum open interest, followed by the 5000 & 4900 puts. The entire activity in the cash as well as the futures markets, indicates addition of fresh longs along with profit booking in the Index future and options side.

On the technical side, Nifty has once again managed to close, comfortably above the 5350 mark, for the third consecutive session and after consolidating in this range for the last eight sessions and trading above most of its short and long term moving averages. Nifty seems to be well on its way, towards a higher trajectory. The levels to watch out for Nifty will be 5397, 5420 & 5456 on the upside and 5338, 5311 & 5282 on the downside. On the currency front, the Rupee gained marginally on the back of Euro’s gains and a report by a government panel which forecasted a lower current account deficit, but the gains were limited as high global crude prices sparked demand for dollars. The rupee settled at 55.73, while the near month USD-INR future settled at 55.80 for the week.

On the international markets front, the Asian and the European markets closed with decent gains, and the U.S. markets also rallied on the back of mainly two reasons (i) Better than expected durable goods data, signaling that the U.S. economy is strengthening after a second quarter slowdown. (ii) Germany backed the ECB’s bond buying plan. On the energy future’s front, the Brent crude oil Future settled at 113.71 $/bbl, down by 1.35%, while the WTI crude oil future settled at 96.01 $/bbl, up by 0.43% and the Natural gas future settled at 2.71 $/MMBtu, down by 0.18%.

EXCITED

The markets opened on a flat note, and continued to trade with a downward bias, for the first half of the trading session but as the news of better than expected inflation figures, and robust indirect tax collections hit the market, the sentiment changed instantly and the markets recovered all their losses at the start of second half of the trading session and ultimately both the indices closed near their highest point of the day. The Nifty and the Sensex closed, up by 32 and 95 points respectively. The market breadth also improved significantly and ultimately managed to close on a marginally positive note with 761 advances to 710 declines. On the sectoral front, Banking sector was the biggest gainer followed by the Energy and FMCG sectors. On the individual stocks front, Ranbaxy, Tata Motors, Tata Steel, IDFC & Jindal Steel were the top five Nifty gainers for the day, while Sun Pharma, HDFC, Siemens, BPCL & Bajaj Auto were the top five Nifty losers for the day. On the institutional side, both the FIIs and DIIs were net buyers to the tune of 258 and 76 crores respectively in the cash market.

On the derivatives side, FIIs were net buyers in Index futures to the tune of 289 crores and net sellers in the Stock futures to the tune of 428 crores. Nifty future settled at 5407 with 27 points premium to the spot, along with a considerable increase in open interest. On the Option side, the PCR fell to 1.21, along with a fall in the India VIX by 2.31%. On the Call option side, the 5400 call lost the maximum open interest, followed by the 5300, 5200 & 5100 calls, while 5600 & 5500 calls added the maximum open interest. On the Put options side, the 4900 put lost the maximum open interest, followed by the 5100 & 4700 puts, on the other hand the 5300 put added the maximum open interest, followed by the 5400 & 5000 puts. The entire activity in the cash as well as the F&O space indicates addition of fresh longs along with profit booking on the options side.

On the technical side, as suggested two days back, Nifty managed to close at the 5380 mark, with increase in volumes and for the fifth consecutive session it stayed above the 5300 mark, indicating it may be finally on the verge of breaking out of the trading range and with almost all factors, i.e technical and fundamental supportive for this upmove, the levels to watch out for Nifty will be 5405, 5424 & 5461 on the upside, and 5343, 5306 and 5287 on the downside. On the currency front, the Rupee fell to its lowest level in more than a week, after a rise in core inflation, tempered expectations for a interest rate cut, while a widening trade deficit highlighted the woes facing the currency. The rupee finally settled at 55.65, while the near month USD-INR future settled at 55.84 for the day. The Indian markets were closed today, due to Independence Day holiday.

On the international markets front, the Asian and European markets have closed in the red, while the U.S. markets are trading almost flat. On the energy futures front, both the Brent and WTI crude oil futures are trading on a strongly positive note, at 114.55 & 94.69 $/bbl, on the back of unexpected fall in U.S. crude oil inventories, while the Natural Gas future is trading down by 2.98% at 2.74 $/MMBtu.

AFFIRMATIVE

The benchmark indices opened on a flat note, and continued to trade in the same range throughout the day but with just one hour left for the end of the session, the markets made a almost vertical ascent and managed to close near the highest point of the day. The Nifty and the Sensex closed, up by 28 and 76 points respectively. The market breadth which remained negative throughout the day, dramatically improved and managed to close in the positive with 810 advances to 672 declines. On the sectoral front, the Energy sector was the biggest gainer followed by the Banking and Infra sectors. On the individual stocks front, HDFC, DLF, RelInfra, Sterlite and Sesa Goa were the top five Nifty gainers for the day, on the other hand Tata Motors, Hind Unilver, Hindalco, Hero Motocorp & Tata Steel were the top five Nifty losers for the day. On the institutional side, the FIIs were net buyers to the tune of 340 crores, while the DIIs were net sellers to the tune of 176 crores in the cash market.

On the derivatives side, the FIIs were net sellers in both Index and Stock Futures to the tune of 28 and 442 crores respectively. Nifty future settled at 5372, with 24 points premium to the spot, along with a considerable increase in premium. On the Options side, the PCR increased to 1.25, along with a marginal fall in the India VIX by 0.35%. On the Call options side, the 5400 call lost the maximum open interest, followed by the 5200 & 5100 calls, on the other hand the 5600 call added the maximum open interest. On the Put options side, the 4800 put lost the maximum open interest, followed by the 4700 & 5000 puts , while the 5300 put added the maximum open interest, followed by the 5200 and 4900 puts. The entire activity in the cash as well as the futures side, indicates creation of fresh longs along with profit booking and hedging of long positions on the options side. The buy figures of FIIs in the cash market along with the sell figures in the Stocks future, seems to be a contradiction, but actually it is a search for the equilibrium point, which is driving the future price towards fair valuation.

On the technical side, Nifty has once again managed to close comfortably above the 5300 mark, along with slight increase in volumes and as suggested yesterday, the markets are consolidating at these levels and making a valid case for a strong up-move, provided there are no major setbacks from the international front. The levels to watch out for Nifty will be 5369, 5379 & 5406 on the upside and 5320, 5293 & 5263 on the downside. On the currency front, the Rupee fell on the back of sustained dollar demand from oil importers, and caution on the part of traders regarding the economy, which could face a period of slowing growth but high inflationary pressures. The rupee finally settled at 55,34, while the near month USD-INR future settled at 55.42 for the day.

On the international market front the Asian and the European markets have closed in the red and the U.S. markets are also trading in the red as Japan’s economy grew less than forecast and Bank of America cut its outlook for Chinese growth. On the energy futures front, the Brent crude future is trading up by 0.92 % at 112.14 $/bbl, while the WTI crude future is trading marginally up at 92.98 $/bbl and the Natural gas future is trading down by 0.56% at 2.75 $/MMBtu.

CONSOLIDATION

The markets opened on a very dull note and continued making new lows as the session progressed and finally touched their intraday lows at the start of the second half of the trading session, but within the next half an hour, the markets dramatically recovered their entire losses and managed to enter the positive zone and touch their intraday highs and from this point onwards the markets followed a zig-zag path of alternatively moving in the positive and negative zone till the end of the session and ultimately both the indices closed almost flat for the week. The Nifty and the Sensex closed, down by 2.55 and 3 points respectively. The market breadth was very negative with 580 advances to 897 declines, On the sectoral front, the Banking sector was the biggest loser followed by the Auto and Pharma sectors, on the other hand, the FMCG sector was the biggest gainer followed by the IT and Energy sectors. On the individual stocks front, BPCL, Kotak Bank, Hind Unilever, Maruti & TCS were the top five Nifty gainers for the day, while State bank of India, Ranbaxy, Tata Motors, Bank of Baroda & IDFC were the top five Nifty losers for the day. On the institutional side, FIIs were net buyers to the tune of a mere 83 crores, while the DIIs were net sellers to the tune of 537 crores in the cash market.

On the derivatives side, the FIIs were net sellers in both Index and Stock futures to the tune of 21 and 625 crores respectively. Nifty future settled at 5345 for the week, along with a moderate increase in open interest. On the Options side, PCR increased to 1.12, along with a 1.59% fall in the India VIX. On the Call options side, the 5400 call lost the maximum open interest, followed by the 5200 & 5000 calls, while the 5600 call added the maximum open interest, followed by the 5300 & 5500 calls. On the Put options side, 5200 put added the maximum open interest, followed by the 5100 & 4900 puts, while the 5300 put lost the maximum open interest followed by the 4800 put. The entire activity in the cash as well as the F&O space, indicates mild profit booking on the options side but massive liquidation of longs both in the stocks and stock futures side, which led to the increase in premium on the Nifty futures side.

On the technical side, Nifty managed to hold on to the 5300 mark for the fourth consecutive session, albeit on falling volumes. The next up-move will happen, only if Nifty closes above the 5380 mark on rising volumes, but before that consolidation should take place above the 5300 mark for some more time, otherwise we may see 100 point correction before the next up-move happens. While there is no major threat to the markets right now, but the sustained selling by the DIIs may lead to weakening of the trend. On the currency front, the Rupee marginally fell on Friday on the back of pressure from global risk assets, but posted its first gain in last one month after the finance minister assured steps on fiscal consolidation. The rupee finally settled at 55.28, while the near month USD-INR future settled at 55.49 for the week.

On the international markets front, the Asian and European markets closed on a very weak note but the U.S. markets managed to close with decent gains as U.S government’s budget deficit narrowed on a Y-O-Y basis, dimming prospects for added monetary stimulus. On the energy futures front, the Brent & WTI crude futures closed marginally in the negative at   112.95 and 92.87 $/bbl respectively, while the Natural Gas future closed down by 5.94% at 2.77 $/MMBtu for the week.

On the technical side, Nifty managed to hold on to the 5300 mark for the fourth consecutive session, albeit on falling volumes. The next up-move will happen, only if Nifty closes above the 5380 mark on rising volumes, but before that consolidation should take place above the 5300 mark for some more time, otherwise we may see 100 point correction before the next up-move happens. While there is no major threat to the markets right now, but the sustained selling by the DIIs may lead to weakening of the trend. On the currency front, the Rupee marginally fell on Friday on the back of pressure from global risk assets, but posted its first gain in last one month after the finance minister assured steps on fiscal consolidation. The rupee finally settled at 55.28, while the near month USD-INR future settled at 55.49 for the week.

JITTERY

The markets opened on a extremely flattish note, and somehow managed to stay in the positive zone till the 1^st hour of the second half of the trading session but ultimately fell and touched their intraday lows before recovering only a bit till the end of the day’s session, ultimately both the indices closed very near to their day’s low. The Nifty and the Sensex closed, down by 15 and 40 points respectively. The market breadth also turned extremely negative with 492 advances to 981 declines. On the sectoral front, the Banking sector was the biggest loser followed by the Energy sector, while the FMCG sector was the biggest gainer for the day. On the individual stocks front, Sterlite, M&M, Tata Power, Hind Unilver & Coal India were the top five Nifty gainers for the day, while Bharti Airtel, State bank of India, HDFC, BPCL & Ranbaxy were the top five Nifty losers for the day. On the institutional side, the FIIs were net buyers to the tune of 337 crores, while the DIIs were net sellers to the tune of a massive 754 crores, in the cash market.

On the derivatives side, the FIIs were net buyers in Nifty futures to the tune of a mere 27 crores and net sellers in Stock futures to the tune of 331 crores. Nifty future settled at 5350, with 27 points premium to the spot, along with a moderate increase in open interest. On the Options side, the PCR increased to 1.07, along with a marginal fall in the India VIX by 0.24%. On the Call options side, the 5500 call lost the maximum open interest, followed by the 5200 & 5300 calls, on the other hand the 5400 call added the maximum open interest. On the Put options side, 4800 put lost the maximum open interest, followed by the 4600 & 4700 puts, while the 5300 put added the maximum open interest, followed by the 5100 & 5400 puts. The entire activity in the cash as well as the futures side, saw unwinding of longs, along with creation of selective longs.

On the technical side, Nifty managed to close above the 5300 mark, with slight increase in volumes and today’s softening of the markets, was mainly due to the slew of bad economic news which heightened the fears among the domestic investors and intensified the selling pressure which resulted in an increase, in the Nifty future premium. As it is evident from the F&O data, the market sentiment is fairly positive and keeping this in mind, the levels to watch out for Nifty will be 5256, 5390 and 5403 on the upside, and 5300, 5278 and 5244 on the downside. On the currency front, the Rupee rose on the back of continued gains in Asian emerging currencies and other risk assets, but an unexpected slump in industrial output capped gains by reinforcing gains about economic growth. The Rupee finally settled at 55.27, while the near month USD-INR future settled at 55.42 for the day.

On the international market front, the Asian markets have close strongly in the positive zone, while the European markets have closed almost flat and the U.S. markets are also trading flat amid concerns about a worsening European debt crisis, which overshadowed the data showing unexpected fall in U.S. jobless claims. On the energy futures side both the Brent and WTI crude futures are trading in the positive at 113.17 & 93.77 $/bbl respectively, while the Natural gas future, is trading up by 3.39% at 3.03 $/MMBtu , after the data showed an unexpected fall in U.S. Natural Gas inventories.

ANXIOUS

The markets opened on a very flat note, but continued to trade with a positive bias for greater part of the trading session, and with just one hour left for the end of the trading session, the markets touched their intraday highs, but from that point onwards as the news of downward revision of GDP estimates, from the international brokerages hit the markets, the markets fell almost vertically and briefly entered the negative zone, before closing almost flat for the day. The market breadth also turned negative till the end, with 602 advances to 892 declines. On the sectoral front, the Banking sector was the biggest looser followed by the Infra & Midcap sectors, on the other hand the Auto sector was the biggest gainer, followed by the IT & Metal sectors. On the individual stocks front, M&M, BPCL, Hindalco, Hindunilvr and Grasim were the top five Nifty gainers for the day while Bharti Airtel, Gail, DLF, IDFC & ICICI bank were the top five Nifty losers for the day. On the Institutional side, FIIs were net buyers to the tune of 1114 crores, while the DIIs were net sellers to the tune of 795 crores in the cash market.

On the derivatives side, for the third consecutive session, the FIIs were net buyers in both Index and Stock futures to the tune of 710 and 159 crores respectively. Nifty future settled at 5348, with 10 points premium to the spot, along with a considerable increase in open interest. On the Options side, the PCR fell to 1.01, with a marginal increase in the India VIX by 0.99%. On the Call options side 5300 call lost the maximum open interest, followed by the 5500 and 5000 calls, while on the Put Option side, the 5300 put added the maximum open interest followed by the 5200 & 5500 puts, on the other hand the 4800 put lost the maximum open interest, followed by the 5100 & 4900 puts. The entire activity in the cash as well as the F&O space indicates creation of fresh longs as well as profit booking at the slightest signs of nervousness.

On the technical side, Nifty could not sustain the intraday gains, but still managed to close above the 5300 mark, on decent volumes on the back of sustained buying, by the FIIs in the cash as well as the futures market. Nifty is still trading above most of its short and long term moving averages and there are no divergences visible now on the indicators side. The levels to watch out for Nifty will be 5366, 5394 & 5412 on the upside and 5320, 5274 & 5250 on the downside. On the currency front the Rupee fell today, snapping its three session winning streak on the back of dollar demand from oil refiners and a late fall in the euro. The Rupee finally settled at 55.42, while the near month USD-INR future settled at 55.44 for the day.

On the international markets front the Asian and European markets have closed almost flat while the U.S. markets are also trading flat after recovering the day’s losses, which have been offset by better than forecast corporate results. On the energy futures side, both the Brent and WTI crude oil futures are trading with minor losses after the unexpected fall in the U.S. crude oil inventories. The Brent and WTI crude futures are trading at 111.86 & 93.15 $/bbl respectively, while the Natural Gas future is trading down by 1.28% at 2.92 $/MMBtu.

JUBILANT

The benchmark indices opened on a flat note, but gradually gained momentum with passage of time and with just one hour left for the end of the day’s session, both the indices touched their intraday highs and ultimately closed near their day’s high. The Nifty and the Sensex closed, up by 54 and 189 points respectively. The market breadth was also positive with 822 advances to 656 declines. On the sectoral front, the Banking sector was the biggest gainer, followed by the IT, FMCG and Auto sectors. On the individual stocks front, Tata Motors, IDFC, Gail, Ambuja Cement & TCS were the top five Nifty gainers for the day, on the other hand Power Grid, HeroMotocorp, Cairn, BPCL & Bharti Airtel were the top five Nifty losers for the day. On the institutional side, FIIs & DIIs were net buyers to the tune of 816 & 55 crores respectively in the cash market.

On the derivatives side, the FIIs were net buyers, for the second consecutive session in both Index and Stock Futures to the tune of 677 & 542 crores respectively. Nifty futures settled at 5348, with 11 points premium to the spot, along with a considerable increase in open interest. On the Options side, the PCR increased to 1.08, along with a marginal increase in the India VIX by 0.06%. On the Call options side, the 5300 call lost the maximum open interest, followed by the 5200, 5000 & 5100 calls, while the 5500 call added the maximum open interest, followed by the 5600 call. On the Put options side, the 5300 put added the maximum open interest followed by the 5200 & 5100 puts, while the 4700 put lost the maximum open interest, followed by the 4900 & 4800 puts. The entire activity in the Cash and F&O space, once again indicates addition of fresh longs in the cash as well as the futures side, along with profit booking at lower levels on the options side.

On the technical side, Nifty managed to close above the 5300 mark, with slight increase in volumes, raising the possibility of a breakout. The Nifty is trading above most of its short and long term moving averages on the daily and weekly charts and with most of the indicators in supportive mode, tomorrow’s session will be crucial for any trend to be established. The levels to watch out for Nifty, will be 5364, 5391 & 5433 on the upside and 5295, 5253 and 5226 on the downside. On the currency front the Rupee rose to a three week high, extending the gains for the third consecutive session on the back of more favorable global risk environment and large dollar sales by domestic companies. The rupee finally settled at 55.06, while the near month USD-INR future settled at 55.26 for the day.

On the international market front the Asian and the European markets have closed on a positive note, while the U.S. markets have risen for the third straight session, on the back of better than estimated corporate earnings and speculation that global central banks will take steps to boost economic growth. On the energy futures side, both the Brent and WTI crude futures are trading on a very firm note at 112.11 & 93.94 $/bbl respectively, while the Natural Gas future is trading up by 1.39% at 2.94 $/MMBtu.

EUPHORIA

The markets opened with a gap up, tracking their Asian peers and continued their positive momentum throughout the day and eventually closed on a very firm note, near their day’s high. The Nifty and the Sensex closed, up by 67 and 215 points respectively. The market breadth was extremely positive with 926 advances to 562 declines. On the sectoral front, the Energy sector was the biggest gainer, followed by the Banking and the Auto sectors. On the individual stocks front, Reliance, Tata Motors, JP Associate, Kotak Bank & Gail were the top five Nifty gainers for the day. On the institutional side, it was clearly a one sided story, with FIIs turning net buyers to the tune of 556 crores, while the DIIs were net sellers to the tune of a mere 4 crores in the cash market.

On the derivatives side, the FIIs were net buyers in both the Index and Stock futures, to the tune of 381 and 615 crores respectively. Nifty future closed at 5296, with 13 points premium to the spot, along with a moderate increase in open interest. On the Options side, the PCR fell to 1.01, along with a marginal increase in the India VIX by 0.62%. On the Call options side, the 5400 call added the maximum open interest, followed by the 5600 and 5500 calls, on the other hand the 5200 call lost the maximum open interest, followed by the 5000, 4900 & 5100 calls. On the Put option side, 5300 put added the maximum open interest, followed by the 5400, 5200 & 5100 puts, on the other hand the 4700 put lost the maximum open interest, followed by the 4800 put. The entire activity in the cash as well as the F&O markets indicates creation of fresh longs, which was accompanied by the profit booking on the lower side and massive put writing at higher levels.

On the technical side, Nifty managed to close above the 5250, albeit on falling volumes, creating fresh hopes of breaking out of the trading range. With positive news flow from the international markets, the pullback may continue for few more sessions. The levels to watch out for Nifty will be, 5296, 5311 & 5329 on the upside and 5263, 5230 and 5200 on the downside. On the currency front the Rupee rose near to a one week high, catching up with the global risk rally, on the back of improving U.S. jobs data and assurance from the new finance minister to unveil fiscal consolidation steps. The Rupee finally settled at 55.52, while the near month USD-INR future settled at 55.71 for the day.

On the international markets front the Asian and the European markets have closed strongly in the positive zone, and the U.S. markets are also trading on a firm note, on the back of the German government backing the ECB’s bond buying plan and better than expected corporate results. On the energy futures front , both the Brent and the WTI crude futures are trading on a positive note at 109.42 & 92.02 $/bbl respectively, while the Natural Gas future is trading up by 1.58% at 2.92 $/MMBtu.

INDECISION

The markets opened with a strong negative bias and touched their intraday lows, within the first two and a half hours of the trading session, but from this point onwards the markets started recovering their losses and ended up almost flat, till the end of the session. The Nifty and the Sensex closed, down by 12 and 26 points respectively. The market breadth was extremely negative with 598 advances to 869 declines. On the sectoral front the FMCG sector was the biggest looser, followed by the Metal sector, on the other hand the Energy sector was the biggest gainer followed by the Pharma and the IT sectors. On the individual stocks front, Asian Paint, Wipro, NTPC, PNB & Dr. Reddy were the top five Nifty gainers for the day. On the institutional side, the FIIs were net buyers to the tune of 209 crores, while the DIIs were net sellers to the tune of 435 crores in the cash market.

On the derivatives side, the FIIs were net sellers in both Index and Stock futures to the tune of 348 and 147 crores respectively. Nifty future closed at 5241, with 25 points premium to the spot, along with a moderate loss of open interest. On the option side, the PCR increased to 1.09, along with a fall in the India VIX by 3.88%. On the Call option side the 5500 call added the maximum open interest, followed by the 5400 & 5300 calls. On the Put option side, the 4800 put lost the maximum open interest, followed by the 4700 put, on the other hand the 5000 put added the maximum open interest, followed by the 5300 & 5100 puts. The entire activity in the F&O space doesn’t indicate any major activity as the markets are unable to find any fresh triggers for movement on either side, but the lack of policy action from the government is making the DIIs nervous, as a result of which they are cashing out on every opportunity in the markets.

On the technical side, Nifty has managed to close above the 5200 mark for the fourth consecutive session on heavy volumes, but Nifty has been stuck in the range of 200 points, for the last twelve sessions and with most of the corporate and economic news already priced in, it remains to be seen, whether Nifty will be able to break out of this particular trading range. The levels to watch out for Nifty will be 5235, 5255 and 5291 on the upside and 5179, 5151 and 5143 on the downside. On the currency front the Rupee posted its third straight weekly decline as concerns about the global economy continued after the Federal Reserve and the ECB refrained from any immediate action this week. The rupee closed 55.75 for the week, while the near month USD-INR future closed at 56.09 for the week.

On the international markets front, except the Asian markets, the European and the U.S. markets have closed on a strongly positive note. On the energy futures front , both the Brent ad WTI crude oil futures have closed on a firm note at 108.94 & 91.40 $/bbl respectively, while the Natural Gas future closed down by 1.47% at 2.87 $/MMBtu for the week