Sideways trading more likely on positive bias

The latest options data on NSE after last Friday's session is pointing to a fall in resistance level by 2,000 points to 25,000CE, while the support level marginally eased by 200 points to 22,250PE.

The 25,000CE has highest Call OI followed by 26,000/ 26,900/ 25,500/ 24,800/ 23,200/ 26,500 strikes, while 25,000/ 24,800/24,600/ 24,750/ 26,000 strikes recorded reasonable addition of Call OI. Modest Call OI fall is visible at 26,500/ 26,100/ 26,150/ 16,750 strikes.

Coming to the Put side, maximum Put OI is seen at 22,250PE followed by 23,000/ 22,500/ 22,300/ 22,500/ 23,500/ 23,700/ 24,000/ 24,200/ 24,100 strikes. Further, 22,250/ 22,600/ 23,000/ 23,500/ 24,100 strikes witnessed moderate to heavy build-up of Put OI. Select strikes 22,400/ 22,450/ 24,250/24,300/24,500 strikes posted marginal fall in Put OI.

Dhirender Singh Bisht, associate vice-president (technical research-equity) at SMC Global Securities Ltd, said: “In the derivatives market, the highest Call Open Interest for Nifty seen at the 24,500 and 24,200 strikes, while the notable Put Open Interest was at the 24,200 and 24,000 strikes.”

Investor sentiment has turned positive after Donald Trump won the US elections. But unabated selling by FIIs impacted the trading.

“The confirmation of Trump’s Presidency in the US provided a boost to the Indian market, but continued Foreign Institutional Investor selling in India and sustained inflows into China kept the market largely flat for the week. As a result, many sectoral indices ended in the red,” added Bisht.

“Bank Nifty closed marginally lower, while NSE Nifty lost about half a per cent. The IT and PSU Bank sectors were the top performers, whereas realty, media, and energy stocks were the biggest laggards last week,” observed Bisht. BSE Sensex closed the week ended November 8, 2024, at 79,486.32 points, a net recovery of 237.80 points or 0.29 per cent, from the previous week’s (November 1) closing of 79,724.12 points.