F&O cues: Nifty futures signal trade in 19,300-20,200 range during August series
Motilal Oswal Financial Services said. Meanwhile, as per the analysis, since the beginning of August series, Option data is scattered at various far strikes in monthly series. On a weekly front, Maximum Call open interest (OI) is at 19,800 then 19,700 strike while Maximum Put OI is at 19,600 then 19,500 strike.
Call writing is seen at 19,700 then 19,600 strike while Put writing is seen at 19,600 then 19,500 strike. According to Motilal Oswal analysis, option data suggests a broader trading range in between 19,300 to 20,200 zones while an immediate trading range in between 19,500 to 19,850 zones. Also Read: Stocks to buy this week: Experts suggest these six technical picks; do you own any? On July 28, the first day of the August series, Nifty closed near 19,650 zones and At The Money Straddle (August Monthly 19,650 Call and 19,650 Put) is trading at net premium of around 485 points, giving a broader range of 19,165 to 20,135 levels.
“Considering overall derivatives activity, we are expecting positive to range bound moves for Nifty as we head into the August series. Now, it has to hold above 19,500 zones to witness an up move towards 19,991 and 20,200 zones while on the downside major support shifts at 19,300 zones," the brokerage report said. Buying interest was seen in Media, Energy, Pharma, Realty, PSU Banks, Auto and Metal sector while some profit booking was seen in FMCG and IT sector.
Foreign Institutional Investors (FII) continued their buying streak in July and cumulatively bought equities worth ₹16,234 crore so far during the month. On the flip side, Domestic Institutional Investors (DII) sold shares to the tune of ₹5,186 crore in July till date. “The FIIs 'Long Short Ratio' in index futures remained improved and
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