SGX Nifty indicates a flat opening for the markets

For today, expect high volatility, as expiry of derivative contracts will see pressure on roll overs.

Jan 30, 2019 02:01 IST India Infoline News Service

SGX Nifty is at 10697, up 3 points. For today, we expect high volatility, as expiry of derivative contracts will see pressure on rollovers.

Nifty saw a very volatile session as mid-cap weakness saw large heavyweights also buckle under pressure second day running with the index down almost 100 points intraday before last hour buying saw markets recover with Nifty closing almost flat. Good results from Bajaj Finance & HDFC saw short covering/value buying.

Global Markets: Asian indices opened mildly in the green with the Japanese Nikkei trading down 50 points as Asian markets stabilize after seeing strong flows into equities in January. With earnings also meeting expectations, expect Asian indices to outperform in near term after being decimated in 2018. US/China trade talks to be the next catalyst for equities going forward.

US Markets: Dow Jones closes in the green after another volatile session with technology stocks dragging the Nasdaq into the red. Apple shares rise as the market looks beyond this quarter sales & expects stability going forward. Oil prices rebound as Venezuela crisis could see supply disruption.

FII/DII Data:  In yesterday’s trading session FIIs sold 354cr stock in the cash market whereas DIIs bought Rs81cr worth of stock. In the derivative market, FIIs sold Rs466cr of Index futures and bought Rs210cr worth of Index options. In the Stock futures segment, FIIs sold Rs165cr worth of stock futures and purchased 56cr stock options.

FII View: FIIs created their bearish positions in Index Futures which is deduced by the fact that they created 3,931 net short contracts in the segment. However, considering the volatility in the market they also created 3,559 net long contracts in Index Call Options.

FII OI
(in000's)
% Chg % Chg
Since Expiry
Long/
Short Ratio
Long/Short
 Since Expiry
Index Long 242 5 64 0.9 0.9
Index Short 261 6 81
Index Call Long 228 5 72 1.9 0.5
Index Call Short 121 6 268
Index Put Long 460 0 105 2.1 0.6
Index Put Short 215 0 250

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