Calm Monthly Expiry? Gap-Down Opening in NIFTY - Pre-Market Analysis Report

What Happened Yesterday?

NIFTY started yesterday at 22,426 with a small gap-up and tried to move up. After the initial 1 hour of trading, the index consolidated for a long time. NIFTY ended the day at 22,402, up by 34 points or 0.15%.

U.S. markets closed flat The European markets also closed flat.

What to Expect Today?

Asian markets are trading mixed.

The U.S. Futures is trading flat.

GIFT NIFTY is trading in slight red at 22,354.

All the factors combined indicate a flat to gap-down opening in the market.

NIFTY has supports at 22,350, 22,280 and 22,200. We can expect resistances at 22,440, 22,510 and 22,600.

NIFTY has the highest call OI resistance at 22,500. There is a high put OI support at 22,300. PCR is at 0.98.

On Friday, Foreign Institutional Investors net-sold shares worth Rs 2,511 crores. Domestic Institutional Investors net-bought shares worth Rs 3,809 crores.

INDIA VIX was flat at 10.27.

NIFTY continued to trade and get stuck around the 22,450 mark. Bank Nifty also respected the Open Interest levels for yesterday’s expiry.

Global markets are also moving sideways, just like us.

The OI levels at 22,300 and 22,500 for the monthly expiry today look important. For the last 2 days, NIFTY has moved in a very tight range.

The expectation is similar today, with 22,400 straddles having around a 100-point premium. Let us see how the market reacts to the 50-point gap-down.

If the index is moving within these ranges, there is nothing to worry about for today. Enjoy the monthly expiry trades, and trade with the levels!

We will be continuing our NIFTY trades and BANKNIFTY trades today. You can check out our trades on the marketfeed app or our website!

All the best for the day!