The Nifty future closed negative with losses of 1.66% at 21169 levels on Wednesday. India VIX was up by 3.91% from 13.87 to 14.41 levels. Volatility spiked and woke up the bears and resulted in profit booking decline at record high zones.
Positive setup was seen in stocks like Voltas, AU Small Finance Bank, ONGC, Tata Consumer and Britannia Industries.
On the weekly options front, the maximum Call OI is placed at 21,500 and then towards 21400 strikes while the maximum Put OI is placed at 21000 and then towards 20800 strikes.
Call writing is seen at 21500 and then towards 21400 strikes while Put unwinding is seen at 21400 and then towards 21300 strikes.
“Options data suggests a broader trading range in between 20800 to 21600 zones while an immediate trading range in between 21000 to 21350 zones,” Chandan Taparia, Senior Vice President | Analyst-Derivatives at Motilal Oswal Financial Services Limited, said.
“Nifty formed a big Bearish candle on a daily scale on Wednesday and closed with losses of around 300 points,” he said.“Now till Nifty holds below 21250 zones, some profit booking could be seen towards 21000 then 20850 zones whereas hurdles are placed at 21350 then 21550 zones,” recommended Taparia.
We have collated a list of stocks from the F&O basket along with cash market from various experts for traders who have a short-term trading horizon:
Expert: Rajesh Palviya, VP-Technical & Derivative Research, Axis Securities told ETBureau
ONGC: Buy| Target Rs 227| Stop Loss Rs 197
Kalyan Jewellers: Buy| Target Rs 380| Stop Loss Rs 308
Tata Consumer: Buy| Target Rs 465| Stop Loss Rs 406
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(Disclaimer: Recommendations, suggestions, views and opinions given by the experts are their own. These do not represent the views of Economic Times)