Nifty 50 (22,829) and Nifty Bank (51.002) opened last week with a great gap. However, they recovered during the week and limited the loss to 0.3 percent and 1 percent respectively. Here is an analysis of the derivative data.
Ingenious 50
The Futures of April Nifty (22,918) lost 0.2 percent marginal last week. In addition, the outstanding open interest fell a little more than 5 percent and stood at 129.2 Lakh of contracts on Friday. This shows a little short coverage.
The call ratio (PCR) of the nearest weekly chain (April 17) is currently 0.80. A lower than 1 ratio indicates a relatively higher or sale of purchase options, a bassist sign. But the PCR or the monthly expiration of April is 1.1, a positive indication.
Futures has seen a short cover, but the PCR of the weekly options suggests a bearish indication. Therefore, there is no clarity in the tendency to observe the positioning of derived merchants.
The table shows that Nifty Futures (April) recovered strongly from supporting 22,000. However, there are resistances ahead at 23,150 and 23,500. A rally conforms to the first can maintain the weekly trend.
But in case the contract falls, it can find support at 22,500 and 22,000. A 22,000 violation can open the by for a deeper, possible fall to 21,300.
As it is, taking into account the data of futures and options (F&P) and the configuration of the graph, the address of the next trend is ungrane.
Strategy: Refrain from trade. But merchants with high -risk appetite can buy future mills (April) if it exceeds 23,150. The objective and the stop-loss can be 23,900 and 22,800 respectively. But we reiterate that this trade entails high risk.
Ingenious bank
The Bank of April Nifty (51,162) recorded a loss or 0.8 percent last week. At the same time, the slope or this contract decreased by almost 5 percent and stood at 21.7 Lakh of contracts on Friday. This shows the short position cover.
Nifty Bank PCR options is now at approximately 0.90. Therefore, the number of calls sold is relatively higher than that of the positions sold, an bearish sign. But this is not a strong signal, particularly when it is seen with the exit of short positions in future ingenious banks.
Therefore, in general terms, Bank Nikty’s futures seem to be in a better position than future mills.
Nifty Bank Futures (April) after opening last week, a substantial gap, saw a quick recovery, raising the contract again in the range of 51,000 and 52,300. The base at 49,500 helped the contract bouncing.
But for the contract to build a sustainable manifestation, it should leave the barrier at 52,300. In this case, it can increase to 55,000 and 56,000.
On the other hand, if Nifty Bank Futures decreases, you can find support in 51,000 and 50,300. The subsequent support is 49,500.
In general terms, while F& or are not giving a definitive positive inclination, the graph does. However, there are risks since the market has been very volatile in recent times.
Strategy: While risk risk merchants can remain outside, participants with the highest risk tolerance can buy future ingenious banks if it is submerged at 50,500. The objective and loss of detention can be 52,300 and 49,800 respectively.
Posted on April 12, 2025
