Nifty 50 (24,039) and Nifty Bank (54,664) appreciated 0.8 percent and 0.7 percent respectively during the past week. This was in line with how futures or both indices contracts. In general, derivative data continues to indicate a bullish bias. Here is an analysis.
Ingenious 50
May’s futures Nifty (24,139) advanced 0.8 percent last week and saw their exceptional open interest (OI) rather than quadruple at 117.4 Lakh of contracts. This shows a considerable long accumulation and a healthy increase in the purchases of the April chain.
While the call ratio (PCR) for the nearest weekly expiration is 0.70, a bassist sign, the relationship for monthly contracts in May and June, in 1.4 and 1.3 respectively, are subsula 1, which shows a positive bias. Therefore, any weakness in the index can be of short duration.
The Nifty Futures Table (May) also remains positive. Althehe saw a decrease in the second half or last week, remains above the key trend that defines support levels in 24,000 and 23,600. While the latter is true, the bulls will feel comfortable.
A rally, either from the current level or after a moderation at 24,000 or 23,600, can carry Nifty Futures (May) to 24,800 and 25,000. But if the contract slides below 23,600, the prospects can become temporarily weak where the price can fall to 22,900.
But as it is, the bulls are in a good position and have the strength to bring future mills to higher maximums.
Strategy: Go a long time in Nifty Futures (May) to 24,000 and in a sauce at 23,700. Place the initial stop loss to 23,500. When the contract recovers at 24,400, check the Stop -los at 24,150. Lift the Stop-Loss up to 24,250 when the contract reaches 24,600. Leave at 24,800.
Alternatively, one can consider May 24500 from May expiration that closed to ₹ 284.10 on Friday. Buy if the premium falls to ₹ 205 and ₹ 150. Place the fall in detention in ₹ 100. When the premium increases to ₹ 350, check the stop -los A ₹ 250. Book Bouthit A ₹ 430.
Ingenious bank
May Nifty Bank’s futures (54,724) increased 0.8 percent last week. Together with this, the OI outstanding almost quadrupled 24.2 Lakh contracts, showing a solid accumulation and good long scrolls of the last expiration.
The PCR of the May expiration options stood on Friday 1, while for the expiration of June, it stood at 1.60. So, in general, there is an upward inclination. The same with the futures contract box.
At the beginning of last week, Nifty Bank Futures (May) touched a record record of 56,077 (the underlying index of Nifty Bank gave a new maximum of 56,098.70 on Wednesday) before seeing a fall of half or last week.
There is the possibility that the contract see an extension of Downswing to the band of 53,600-53,800 prices. However, we hope that ingenious future banks recover the upward impulse and the increase of 57,000 in the short term. The resistance above 57,000 is 58,000.
But in the event that the contract incomates support to 53,600, it could extend the fall to 52,800 and 52,500. That said, given the prevailing price action, we can assume that the support of 53,600 can maintain and help trigger another rise stage.
Strategy: Buy Nifty Bank Futures (May) at 54,300 and in a sauce at 53,700. The objective and the stop-loss can be 57,000 and 53,150 respectively.
Otherwise, merchants can buy can overcome 55500-CALL, whose cousin was ₹ 757.70 on Friday closing. Go long to ₹ 580 and ₹ 325. Maintain the loss of detention in ₹ 150. When the price of the option rises to ₹ 1,200, increase the stop -los to ₹ 900. Go out to ₹ 1,700.
Posted on April 26, 2025