In case you haven't signed up for the Vtrender Open House on Tuesday, please find the details of this exciting announcement from Shai's post here
1. What can I say? Options table has just too much bearishness written all over it and when everyone is one same side of the trade, market sometimes doesn't reward that crowded trade as much.
2. Given the OTR (OI True Range) of 6000 was close to 15L, bears were able to take it easily with 11L calls written and the ever dependable 6000PEs backed off.
3. Even quite a bit of 5900CEs were written making 5900 also vulnerable for bear attack but with 69L of OI @5900PE, 5900 is still the reasonably good support for this market
4. 6000 is also now a resistance but I still want to view it as balanced because of the high OTR. 6100 is the first resistance and 6200 is the strong resistance.
5. PCR has dipped from 1.05 to 1.0 -- This is the only 6th time PCR has dipped so low and rest of the 5 times were 400+ point corrections during the last 1.5 years. So a reversal from here is possible even if its temporary.
Nifty Futures:
NOV: 2.3Cr OI down 2% (5L shares cut)
DEC: 53L OI up 27% (11.3 shares got added) - Strong rollovers + new OI added with premium reduction on Friday -- Fresh Shorts? Only time will tell.
Banknifty Futures:
NOV: 14L OI down 1% (0.15L shares cut)
DEC: 1.87L OI up 34% (0.45L shares added) - Again similar story like Nifty OI
PS: There was a power cut in my area in B'lore all of yesterday night which drained off my inverter too! I could post only after coming to office. Sometimes makes me wonder why I am investing in NTPC/NHPC/GVKPIL/TATAPOWER - when in fact the power tariffs are promptly going up but service we get from out Electricity board is still what we used to get in last decade :(
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4 comments:
Thanks Girish!
Maybe power tariff are going up because of inefficient transmission and distribution systems which are still in the hand of govt. Guess, it won't be a bad idea to sell Powergrid FPO shares the moment they come to demat. :)
RM,
You are right on the transmission/distribution part. One one hand farmers who are already benefited from increase in food prices are being given subsidized power and the middle class (tax paying) junta are squeezed on everything including power tarrifs/petrol prices/food prices.
Well for PowerGrid shares, I might as well hold on to get the long term tax benefits/gains ... Same with my NHPC/NTPC stocks - I might just hold on to them because HOPE is sometimes the best medicine :)
It's funny you make a reference to inverters today as I am also running on one today.
Whilst we are all concerned about the power situation and some shares of our fav comapanies in that sector, the guy who sold me an inverter 12 years back has mushroomed from small scale to large scale today.
There is always a bull mkt somewhere :)
LOL Shai!
Again confirms my thought -- "HOPE is sometimes the best medicine" :)
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