| The Sensex futures made an intra-day low of 18,900, which was almost 271 points below its support level of 19,171, but closed at 19,222. The Nifty futures made an intra-day low of 5,645 and closed above the support level (5,700) to close at 5,709. |
| According to derivative analyst, Sailav Kaji, the close above support levels holds good for the markets. The fact that this despite the weak global cues indicates that the market is holding its weekly support levels. |
| Kaji reckons that Indian markets are likely to be range bound, with Sensex moving between 19,171 (Nifty 5,700) and 20,238 (Nifty 6,014). The market has been witnessing consolidation in this range. An uptrend is possible only if the benchmark indices closed above news highs. |
| According to Kamalesh Langote of vfmdirect.com, the Nifty's close below 5,750 is a cause of concern. The markets look weak at the moment and an upside is possible only if the Nifty closes above 5,750 levels. The immediate support for Nifty is 5,638, while resistance exists at 5,770. |
| The Nifty PCR has moved down further to 1.16 from 1.18, with put options adding 1.97 lakh shares and call options adding 3.66 lakh shares. A PCR below 1.20 in normal conditions demonstrates oversold positions. |
| However, with almost 45 per cent call options open interest seen in out-of-the-money options, a PCR below 1.20 indicates indecisiveness among the derivative players. However, Put writing is seen near 5,700 levels indicating a strong support for Nifty at 5,700. |
| A lot of F&O action was seen on the Hindalco, REL and RPL counters. Hindalco closed above Rs 200 for the first time in four years, at Rs 207. |
| Hindalco November futures closed at 205.95, up 8.28 per cent, while the OI increased by 15.77 lakh shares. According to Sailav Kaji, the stock of Hindalco has been re-rated and it can seen a further upside in the near future. |
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