The summary provides an overview of the key points from the document: 1) The markets are expected to open flat, with emerging markets trading mixed. The trading range for the day is forecast to be between 7830-7920. 2) Various market indicators are presented such as open interest, volatility levels, and fund flows. Sectoral analysis shows short buildup in cement and long unwinding in sectors such as PSU banks and NBFCs. 3) Trading ideas are given for short positions in Tata Steel and Relinfra based on technical analysis. Key stocks that may outperform or underperform are also highlighted.

1. DERIVATIVE RESEARCH
Nifty outlook SGX Nifty 7,959 (-26)
Today the markets are likely open on flat note. All emerging markets
are trading mixed. The coming session is likely to witness a range of
7830 on declines and 7920 on advances.
7-Oct 1-Oct 30-Sep 29-Sep 26-Sep
NIFTY Discount/Premium 38.50 38.10 34.35 35.00 63.05
COST OF CARRY% 0.72 0.70 0.69 0.63 0.64
PCR(OI) 1.04 1.10 1.10 1.03 1.03
PCR(VOL) 0.89 1.08 1.01 1.03 1.08
A/D RATIO(Nifty 50) 0.17 0.47 0.85 0.39 2.33
A/D RATIO(All FO Stock)* 0.23 0.56 0.67 0.64 3.63
Implied Volatality 13.79 12.00 12.10 12.43 12.06
VIX 14.46 13.00 13.15 13.39 13.39
HISTORY. VOL 16.3 15.83 16.31 16.81 17.19
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October 08, 2014
Nifty level
NIFTY LEVEL S1 S2 R1 R2
7891 7830 7780 7920 7950
Nifty snapshot
7-Oct 1-Oct
Nifty Spot 7852.40 7945.55
Nifty Oct 7890.90 7983.65
Nifty Nov 7939.70 8031.65
Chg. OI (Oct) (%) 4.04 -0.40
Chg. OI (Nov) (%) 4.42 1.54
50 Day SMA 7908 7904
100 Day SMA 7697 7688
200 Day SMA 7044 7037
Stock is in ban period
No Stock
Sentiment indicator
Nifty v/s OI
Date Nifty % Change Open Intrest % Change
24-Sep 8062 -0.2% 12350250 25.8%
25-Sep 7972 -1.1% 15778900 27.8%
26-Sep 8032 0.8% 16409700 4.0%
29-Sep 7994 -0.5% 15503850 -5.5%
30-Sep 7999 0.1% 15701650 1.3%
01-Oct 7984 -0.2% 15639450 -0.4%
07-Oct 7891 -1.2% 16271150 4.0%
Fund flow (FII/DII)
Net investment (in cr)
FII INDEX FUTURE 152
FII INDEX OPTION 3
FII STOCK FUTURE -304
FII STOCK OPTION 26
FII CASH -333
DII CASH 328
*All Future Stock
Nifty option OI concentration
In lakhs
3.97
3.11
8.26
5.33
43.59
18.40
35.89
50.98
62.53
43.55
70.00
60.00
50.00
40.00
30.00
20.00
10.00
0.00
7500 7600 7700 7800 7900 8000 8100 8200 8300 8400 8500
Nifty option OI change
In lakhs
45.05
53.38
33.76
Call Put
54.29
46.02
24.73
24.87
11.37
9.15
7.23
2.21
4.82
-0.13
-0.01
0.17
-0.04
7.46
1.68
1.55
12.54
4.74
3.93
-0.08
-1.50
1.40
1.91
4.37
8.56
5.73
- 3.06
-0.13
-3.20
-2.19
0.02
14.00
12.00
10.00
8.00
6.00
4.00
2.00
0.00
-2.00
-4.00
7400 7500 7600 7700 7800 7900 7950 8000 8100 8300 8400
Call Put
Trading ideas
Scrip Trade Entry Sl Target Status
Tatasteel 430 Oct Put Buy 11-12 7 20 Intraday
Relinfra 560 Oct Put Buy 20-21 12 36 Intraday

2. Nifty FII’S activity in Nifty future discount / premium
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80.00
70.00
60.00
50.00
40.00
30.00
20.00
10.00
Indices to out perform
Closing % Change
CNX IT 11429 -0.79%
CNX Pharma 10565 -2.15%
CNX Smallcap 4893 -0.69%
CNX Service 9647 -1.02%
CNX Media 1993 -1.53%
Indices to under perform
Closing % Change
BANK Nifty 15180 -0.89%
CNX Metal 2772 -2.84%
CNX PSU Bank 3278 -2.19%
CNX FMCG 19542 -0.45%
CNX Finance 6209 -1.43%
Stocks to out perform
Closing % Change
EICHERMOT 11736.9 -1.11%
INFY 3811.9 -0.10%
BATAINDIA 1383.3 -1.04%
JUSTDIAL 1709.5 4.33%
AUROPHARMA 1000.1 2.97%
800
600
400
200
0
-200
Top 10 long build up
LTP % change Open interest % OI chng
BPCL 655.4 0.01% 3720500 8.26%
WIPRO 621.1 0.45% 5553000 5.93%
JUSTDIAL 1709.5 4.33% 268125 3.42%
SAIL 69.8 1.38% 38404000 2.94%
GAIL 444.1 0.48% 2393000 1.87%
M&MFIN 275.9 0.33% 6622000 1.70%
ASHOKLEY 42.8 1.30% 56210000 1.21%
NTPC 141.2 1.04% 39312000 0.39%
Top 10 short build up
LTP % change Open interest % OI chng
ADANIPORTS 261.8 -5.32% 9360000 17.12%
TATASTEEL 443.3 -1.96% 18986000 9.45%
DRREDDY 3121.6 -3.20% 964750 7.79%
PFC 227.5 -5.01% 8798000 7.53%
DLF 142.7 -5.75% 24790000 7.38%
RELINFRA 571.6 -4.00% 6242500 6.88%
HDFC 1025.1 -2.86% 6872500 6.87%
MCLEODRUSS 285.5 -3.04% 2195000 6.35%
ORIENTBANK 222.8 -3.61% 5560000 5.50%
CAIRN 293.4 -4.10% 13470000 4.33% Stocks to under perform
Closing % Change
DRREDDY 3121.6 -3.20%
JSWSTEEL 1154.6 -2.29%
SBIN 2382.9 -2.24%
MINDTREE 1111.7 -3.44%
ULTRACEMCO 2569.1 -3.08%
In Cr.
645
165
-316
-164
121
-213
99
232
72
152
-400
19-Sep 22-Sep 23-Sep 24-Sep 25-Sep 26-Sep 29-Sep 30-Sep 01-Oct 07-Oct
60.65
68.55
64.70
59.85
59.95
63.05
35.00
34.35
38.10
38.50
0.00
19-Sep 22-Sep 23-Sep 24-Sep 25-Sep 26-Sep 29-Sep 30-Sep 01-Oct 07-Oct

3. Sector overview
Scrips/Indexs OI Volume Price Remark
Change Change (%) Change
Auto 184250 -18.0% -0.8% Short Buildup
Auto Ancillaries -37000 -32.2% -1.6% Long Unwinding
PSU Banks 933375 -23.2% -2.0% Long Unwinding
Private Banks 50000 -48.5% -0.8% Long Unwinding
Capital goods 297250 -12.7% -2.4% Long Unwinding
Cement -1139625 15.1% -1.8% Short Buildup
Fertilizers -258000 -19.5% -1.4% Long Unwinding
FMCG -552500 -51.6% -1.0% Long Unwinding
IT 602000 66.7% -1.0% Short Buildup
Real Estate 1223000 -5.7% -1.8% Long Unwinding
Change in sector open interest
Sector overview
Scrips/Indexs OI Volume Price Remark
Change Change (%) Change
Infrastructure -264000 8.4% 4.3% Long Buildup
Media -7000 -5.3% -1.5% Long Unwinding
Metals 4286000 -17.0% -3.0% Long Unwinding
NBFC -1455000 -44.3% -2.9% Long Unwinding
Oil & Gas 1122500 -20.4% -1.6% Long Unwinding
Pharma -15250 -21.4% -1.2% Long Unwinding
Power -2890000 -54.2% -0.4% Short Buildup
Textile 13000 -7.5% -2.8% Long Unwinding
Telecom -1706000 -53.7% 0.3% Short Covering
In Lakhs
1.84
-0.37
9.33
0.50
2.97
-11.40
-2.58
-5.53
6.02
12.23
-2.64
-0.07
42.86
-14.55
11.23
50.00
40.00
30.00
20.00
10.00
0.00
-10.00
-20.00
-30.00
-40.00
Auto
Auto Ancillaries
PSU Banks
Private Banks
Capital goods
Cement
Fertilizers
FMCG
IT
Real Estate
Infrastructure
Media
Metals
NBFC
Oil & Gas
Analyst: Dhirender Singh Bisht Boardline : 011-30111000 Extn.649 dhirenderbisht@smcindiaonline.com
SMC Research also available on Reuters
-0.15
-28.90
0.13
-17.06
Pharma
Power
Textile
Telecom
E-mail: researchfeedback@smcindiaonline.com
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