Market Snapshot - August Series - Disclaimer Post Applies

Market Snapshot for August Series – Gained ~68 points in August series

August series traded in a narrow range between 5,350-5,450 but it broke its narrow range and crucial level of 5,500 and hit a 30-month high during the last week. Nifty August future expired with a gain of 68 points i.e 1.27% in today’s trading session and settled at 5,477. FII were net buyers in 17 trading sessions out of 19 trading sessions. This is consecutive third series for the market to close in a positive zone.

Rollover– Negative Rollover cost of ~11bps in September series

Nifty has rolled 76% positions into next series, which in line as compared to July expiry (77%). Nifty September series would start with an OI of ` 173 bn outstanding positions in open interest as compared to ` 142 bn for start of August series. In today’s trading session around 279,700 contracts got rolled in September series. Nifty series holds total OI of 650,860 contracts which is 17.5% higher as compared to previous expiry. Market wide futures OI outstanding currently is ` 633 bn, which is 12% higher than (OI of ` 564) previous expiry. Market wide rolls is 80% which is in line as compared to last expiry (82%).

Outlook for September Series – Range Bound

In September series concentration is observed at 5,600 CE and 5,400 PE indicates the range for September series to be 5,600 on the upside whereas the downside is capped at 5,400 to act as a support for intermediate term and 5,300 in worst case scenario.

Sector-wise Rollovers

Highest long Roll: Bullish Signal

SUGAR (92.6%), FINANCE (89.4%), INFRASTRUCTURE (89.4%),

Highest Short Roll: Bearish Signal

CEMENT (85.2%)

Lowest Rollover

AUTOMOBILES (80.2%), BANKING (80.9%) , MEDIA (81.8%)

Stocks Rollovers

Highest long Roll: Bullish Signal

GTL (96.8%), PIRHEALTH (96%), WELCORP (95.4%)

Highest Short Roll: Bearish Signal

IFCI (92.7%), NHPC (92.4%), RELCAPITAL (91.7%)

Lowest Rollover

BOSCHLTD (47.8%), CHENNPETRO (55.1%), PETRONET (57.3%)