Nifty settled its weekly closing at marginally weak tone but managed to close above 9000 psychological level. However, during the day, the RBI slashed its key repo rate by 40 bps to 4%, which was the second rate cut of this year due to the coronavirus pandemic. At close, Sensex closed at 260 points down or 0.84%, lower at 30,672.59 while Nifty finished with a loss of 67 points, or 0.74% at 9,039.25. Overall market breadth was negative as 685 shares are advanced only and 1040 shares are declines and 391 shares remained unchanged. India VIX, which measures the implied volatility of Nifty 50 options, was down by 2.32% at 32.20.
According to weekly option derivative diaries, maximum Call writing open interest of 26.45 lakh contracts was seen at the 9,500 strike price, which will act as a crucial resistance level for next trading session. However, Put Writing open interest seen at 9,000 strike price with 33.54 lakh contracts, which will act as a strong support.