A battle for 9900 on expiry day. Nifty 30 Aug 2017

Market Aug

The market regained much of the lost ground in today's trading session as the stress related to the geo-political issues evaporated. Nifty gained 88 points to close at 9884.40. It is now trading above all key moving averages other than the 20 day simple moving average which stands at 9900.

The market breadth was very positive with an advance decline ratio of 3:1 and all broad based indices closed in the green. The sectoral indices were also positive except for IT which marginally fell by 0.12% pulled down by MindTree, Tech Mahindra and OFSS being top losers.


India Vix and Derivatives Data for Aug

The overall options data is poised in a very neutral stance with the PCR ratio of 1.01. If we assume a certain level of Puts as hedge position, we may consider the ratio to have a bullish bias. The 9800 and 9900 calls saw high level of OI Change with long unwinding taking place at these strikes. The 9900 and 9850 puts saw short build up indicating high pitched battle for the 9900 levels in the trading session tomorrow. There is a good chance of the market swinging wildly between 9860 and 9920 as the bull and bear camps fighting it out for the Aug Expiry. 

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This blog is for educational and awareness purpose only. The views are intended for discussion and exchange of views rather than an expert opinion. This is not an recommendation to buy or sell or invest in the stock market and derivatives market. Kindly exercise caution and perform your own due diligence before investing in the market, after fully and clearly understanding the risks involved.

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