Traders Watchlist: Top 12 data points to know before the market opening bell on Friday

The Indian market witnessed a massive sell-off on Monday on the back of series expiry and select FIIs downgraded Indian equity markets. The S&P BSE Sensex plunged over 1150 points, while the Nifty50 ended below 17900 levels.

Sectorally, the selling pressure was visible across sectors with metal, banks, financial services, which declined most, followed by pharma, IT, auto, realty and media.

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Shrikant Chouhan, Head of Equity Research (Retail), Kotak Securities Ltd said, “Markets ended as the worst performer in the Asian pack as selling intensified on the expiry day. After a weak opening, benchmark Nifty swiftly broke the important 18100 support level and retreated sharply thereafter.”

Chouhan further said, “After a long time, the Nifty closed below 20 day SMA which is broadly negative for the market. For day traders, the short-term trend is weak as the market is in a temporary oversold situation but a quick pullback rally cannot be ruled out.”

“The intraday day trade setup suggests 18000 and 18050 would be the key hurdle for traders and below the same the correction wave is likely to continue till 17750-17700 levels. Contra traders can take a long bet near 17700 with a strict support stop loss at 17650,” he added.

Here is a list of 12 data points that will help you in making a profitable trade

Key support & resistance levels for Nifty50:

The Nifty50 closed 1.94 percent lower at 17,857. Key Pivot points (Fibonacci) support for the index is placed at 17799, 17707, and 17557 while resistance is placed at 18098, 18190, and 18340.

Key support & resistance levels for Nifty Bank:

The NiftyBank closed 3.34 per cent higher at 39,508. Key Pivot points (Fibonacci) support for the index is placed at 39326, 38953, 38349 while resistance is placed at 40533, 40907, and 41510.

Gross Open Interest:

Open Interest means the number of contracts open or outstanding in futures trading in NSE at any one time. One seller and one buyer together create one contract.

Here the gross values of Open Interest Positions taken by the four participants namely Client are Clients are the retail individual investors who invest in the derivatives instruments, DIIs are domestic individual investors, FIIs are foreign institutional investors and Pro are the proprietors and brokerage firms who trade on their own behalf.

Options Data:

“Since it is the beginning of the new series, Option data is scattered at various far strikes. Option data suggests a broader trading range in between 17200 to 18500 zones,” Chandan Taparia, Vice President | Analyst-Derivatives at Motilal Oswal Financial Services Limited, said.

5 Stock seeing new Long Positions:

If price increases and open interest increases, then participants are having more of long positions.

23 stock witnessing Long Cover:

If the price decreases and open interest decreases, then participants are long covering their contracts.

25 stocks witnessing short positions:

If price decreases and open interest increases, then participants are having more of short positions.

 14 stock witnessing short covering:

If the price increases and open interest decreases, then Participants are short covering their contracts.

FII Activity:

Foreign portfolio investors (FPIs) remained net sellers for Rs 3818.51 crore in the Indian markets while Domestic Institutional Investors (DIIs) were net buyers to the tune of Rs 836.6 crore, provisional data showed on the NSE.

FII Index and Stock F&O:

Bulk Deals:

Stampede Capital Limited: Alpha Leon Enterprises LLP bought 4,00,000 equity shares in the company at the weighted average price Rs 9.1 per share on the NSE, the bulk deals data showed.

Debock Sale Marketing: Ramesh Bhandappa Munnoli bought 60,000 equity shares in the company at the weighted average price Rs 24 per share on the NSE, the bulk deals data showed.

Bombay Metrics SC Ltd: Pranal Vinodbhai Rabadiya sold 18000 equity shares in the company at the weighted average price Rs 129.65 per share on the NSE, the bulk deals data showed.

Stocks under F&O ban on NSE

No stock under the F&O ban on Friday. Securities in the ban period under the F&O segment include companies in which the security has crossed 95 percent of the market-wide position limit.

(Disclaimer: The views/suggestions/advices expressed here in this article is solely by investment experts. Zee Business suggests its readers to consult with their investment advisers before making any financial decision.)