Promote 3rdAugust Nifty 19650 Name at 95-100 & Promote 3rdAugust 19650 Name at 95-100, Stoploss: 5; Goal: 50, Stoploss 300. Time Body: until expiry.
Nifty snapped its 4 weeks of consecutive beneficial properties and witnessed some revenue reserving from larger ranges in the course of the month-to-month settlement. Nevertheless, broader markets remained agency the place midcap and small cap indices proceed to outperform and closed in inexperienced. Going forward, we consider that Nifty could spend a while within the vary of 19500-19800 ranges amid inventory particular actions after beneficial properties of 4 consecutive expiry.
Nifty has began the August collection with 5 months excessive open curiosity at inception as continued shopping for momentum was noticed in the course of the collection. Additionally, the Nifty premium has risen vital throughout settlement and moved past 150 factors earlier than closing close to 110 factors on Friday. Contemplating dividend of close to 50 factors throughout August collection, the web premium remains to be on a better facet and Nifty could witness some consolidation in coming classes. We count on July collection VWAP close to 19550 ranges to behave as a direct assist for Nifty.
Within the choices entrance, Name writers have been a bit extra aggressive attributable to revenue reserving seen amongst heavyweights final week with highest Name base positioned at 19800 strike. Regardless of weak spot, Put writing has largely remained intact the place 19500 and 19600 strike maintain vital open curiosity. Therefore a spherical of consolidation is more likely to be seen within the index and solely a transfer past the vary could set off additional directional motion.
India VIX has moved to 10.20 ranges which is one among lowest ranges for the volatility. An increase in volatility stays an important threat as we transfer into new collection. Therefore one ought to contemplate ranges close to 19500 as a cease loss for lengthy positions.