F&O Market Report for Friday 21 Aug 2020

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F&O Data Analysis for Friday, 21^st Aug 2020

This blog contains information and major data points regarding Futures and Options which may be helpful in taking positions or day trades in Markets.

Our major focus will be on Nifty 50 and Nifty Bank. It is recommended to use Desktop-Version of site for better view. And don’t forget to read “AAJ KA GYAN” at the end.

 

Futures and Options data of Index.

Index	Last Price	Chg(Rs.)	Chg(%)	Chg in OI(%)	Prem./Dis.	14-Day High	14-Day Low
Nifty 50	11293.50	-127.30	-1.11 %	-2.04 %	-18.70	11466.40	11111.00
Nifty Bank	21915.00	-392.30	-1.76 %	+10.85 %	-84.45	22466.15	21370.00

 

Index	Max Pain	Put Call Ratio (Monthly)	Highest OI Call Put	Increase in OI Call Put
Nifty 50	11300	1.24	11500 11000	11300 10500
Nifty Bank	22000	0.82	23000 20000	22000 21000

  

FII Activity in F&O

Type	Today’s Activity Amount (In Cr.)	Overall No. of Contracts (OI)	Overall Amount (Cr.)
Stock Options	-14.73	99,869	7123.71
Stock Futures	-964.69	12,89,593	90200.74
Index Options	+2311.32	5,77,778	46154.17
Index Futures	-1696.62	1,26,371	9618.98

 

Overall F&O Cues :-

·         More Calls were added in Nifty as well as Nifty Bank

·         Gap-down was seen due to weak global cues

·         Heavy addition of Contracts on and above 11300 shows the upmove is limited now

·         22500 is acting as major resistance for Nifty Bank

·         Shorts were initiated in both Nifty and Nifty Bank

·         Decline in prices and rise in OI indicates the initiation of short positions on above levels

·         23000 and 22500 are having highest OI on Call side in Nifty Bank

·         FIIs and DIIs both turned net sellers today

 

Market fell sharply due to weak Global Cues and Dollar gaining strength. Bank Nifty rejected 22500 levels and Nifty fell from highs of around 11460.

Highest OI still stands on Put Side for Nifty. Heavy Index Futures were sold by FIIs today which is sign of cautious. Upmove from here looks limited for Index.

Put Unwinding was seen in Nifty and Calls were added, which is clear sign of no more upside. A more clear direction will be visible after tomorrow’s trade.

Currently not holding any position.

 

AAJ  KA GYAN :-

 

When we are learning to swim, we start from 4 feet, then 6 feet and so on.

Similarly, in trading we should start with less capital and increase it gradually once we get HOLD of the process.

DON’T GO ‘ALL IN’ IN THE BEGINNING ITSELF.

 

Hope it helps. Don’t forget to share yours thoughts on Twitter @ The_HKD