F&O WATCH: Tech bounce ahead

CNXIT futures added open interest of 1,600 shares on Monday thereby halting the selling pressure witnessed throughout last week in tech scrips.

While Infosys added OI of three lakh shares (15%), OI in Satyam increased by 28.10 lakh shares (19%). This indicates fresh long positions taken at lower levels, and given the positive cost of carry (CoC) in both the stocks a bounce is likely in the stocks in the coming days.

The Nifty April futures remained in positive territory for the 4th consecutive trading session, and were trading at a premium of 10-15 points for a major part of the day. At close, the premium narrowed to seven points on account of selling pressure. The May futures are trading at a premium of three points.
 

OPEN INTEREST                                                                            (In million)
Underlying	24-Apr	21-Apr	20-Apr	19-Apr	18-Apr	17-Apr
Nifty	53.67	49.63	48.93	49.09	47.80	47.13
RIL	24.80	22.47	22.34	20.46	22.23	22.95
Satyam Computer	21.99	19.30	14.93	13.02	13.01	13.56
Rel Cap	15.04	15.18	15.10	14.36	14.57	14.51
Tata Steel	22.05	21.18	19.81	18.57	18.05	16.98
SBI	14.99	14.14	13.26	12.88	12.83	12.50
MTNL	51.74	51.91	49.92	48.33	47.96	40.38
Total	1343.68	1297.46	1247.13	1225.04	1210.09	1192.38

The put-call ratio (PCR) of Nifty dropped to 1.47 as against 1.58 on Friday as call options added nearly 7.7 lakh shares while put options added only 1.48 lakh shares.

With only three more days remaining for the expiry of April futures, the rollovers were around 28%. Nifty futures recorded a rollover of 25%.

Over 50-60% rollovers were seen in JP Hydro & Nagarjuna Fertilisers. Around 35-40% roll-overs were seen in Allahabad Bank, Ashok Leyland, Bharti Tele, Century Textiles, Chambal Fertilisers, Corp Bank, Gujarat Ambuja, IDBI, OBC & PNB.