Yesterday, The Nifty 50 was opened on a flat note at 9,079.45 levels but continued to trade higher following the trend of the previous trading session along with heavy additions in Put Writing at 9,100 levels to an intraday high of 9,178.55 levels. However, the index erased all gains in the last hour of the trading session and closed at 9.106.25 levels, with a gain of 0.44%. On sectoral upfront, indices were closed on a mixed note out of which the auto stocks added 2.61%.
Maximum Call open interest (OI) of 19 lakh contracts was seen at the 9300 strike price followed by a 9200-strike price which 15 lakh. Highest call writing was seen at the strike price of 9100 at which 5.5 lakh contracts traded. Call option suggests 9200 will be next hurdle. Maximum Put open interest of 33.12 lakh contract was seen at the 9000-Strike price followed by 8500 levels with 28.14 lakh open contracts. Highest put writing was seen at a strike price of 9000 at which total 7.51 lakh contracts traded. Put option suggests 9000 will act as a support.
Today, Nifty50 futures is likely to remain in a range of 8,816.88 -9,315.52 levels as per the daily volatility of 2.75 levels. Formation of small ‘Gravestone Doji’ candlestick pattern on daily scale and delisting of Chinese companies from U.S. exchanges, which has raised tensions between the U.S. and China is likely to keep the bears in control. A slippage below 9,046 levels will trigger the formation of ‘Gravestone Doji’ candlestick pattern and activate more sellers to a low of 8,980 and 8,900 levels respectively.