Technical and derivative: Markets end the week lower; Nifty, Bank Nifty end down 1.5%

Let us take a glimpse into what happened in markets over this week.

Apr 16, 2021 04:04 IST India Infoline News Service

Technical

The Nifty started the week with a selling pressure and slipped to the low of 14248. However, during the remaining days of the week Nifty witnessed a strong comeback before settling near the weekly high. However, on the daily chart Nifty slipped below 21 EMA and settle below it. Going forward, the bias may remain sideward, a decisive move above 14700 is likely to induce further rally in the market. On the other hand, failure to sustain above 14400 may trigger a fall in the market.

Derivative

Markets witnessed a volatile week with the major indices witnessing whipsaw moves. Both Nifty and Bank Nifty index closed the week 1.5% lower. Bank Nifty index continued to fresh short positions on week on week basis as the PCR continued to tilt in the favour of the bears. Pharma stocks like Cipla, Aurobindo Pharma, Dr Reddys & Divis Labs were among the top outperforms, closing the week with an addition of fresh long positions. FIIs index futures long/short for the April series has marginally inched higher upto 1.7x level, in the favour of the bulls. On the options front (April 29, 2021 expiry), Nifty 15000CE & 14300PE strike price has witnessed fresh writing, hinting a formation of a ceiling and the floor level for the index around the mentioned strikes in the coming days.

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