Nifty February futures premium decreases to 9.05 points - Karvy

Nifty February futures premium decreased to 9.05 points from 37.20 points. Futures added 6 lac shares in OI.

Nifty March futures premium decreased to 42.85 points from 70.55 points.

Nifty historical volatility fell to 24.02% from 24.40%.

Nifty put options added 22 lac shares in open interest, while Nifty call options added 46 lac shares.

Nifty put options implied volatility IV increased to 14.39% from 12.94%, while Nifty call options' IV decreased to 12.23% from 15.36%.

Nifty VIX rose to 14.34% from 13.76%.

The US markets yesterday closed a negative note, while Asian markets are currently trading in the red. Hence, Nifty is expected to open gap down as indicated by SGX Nifty. Trade short in the Nifty below 5950 or else on rise around 5980 levels with stop loss placed at 6000 for targets of 5930 and 5900. Alternatively, trade long if it sustains above 6000 targeting resistance levels.

Nifty Options: Sell Nifty Feb 6000 CE @ 73-75; stop loss: 6020 (spot); Targets:37-40, TF: 3-4 days.

The Bank Nifty ended on a negative note, losing 0.46% in yesterday's trade. On the F&O front, the Index added 8.13% in open interest on the back of fall in cost-of-carry from 8.43% to 4.32%. The index closed below the crucial 12550 level thus confirming the impending weakness. Any sustenance below 12550 can witness strong correction on the index. For the day, trade short on the Index if it sustains below 12550 levels for targets of 12450 and 12350 levels.

Source : Equity Bulls

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