MTECHTIPS EQUITY MARKET NEWS

MTECHTIPS:-Market Snapshot & Options Analysis Nifty futures witnessed gap up opening after taking the positive global cues on the back of announcement of stimulus by the Federal Reserve and momentum remained continue for the entire trading session on Friday. Nifty had breached the critical hurdle zone around 5450-5500 area and has given close above that levels indicates rally is likely to continue in the market till the time it is holding above 5400-5450 levels. Nifty for the day, if it sustains above 5580 levels then rally may continue towards 5650 or above levels. On downside if it fails to hold 5500 then only selling pressure may be seen. Nifty future saw increase in OI by 9.75% with a rise in price by 2.46%. Market witnessed buying interest in Realty, Metal, Banking, CG, Auto, Oil & Gas, IT, Tech, PSU and Power sector stocks whereas selling pressure was seen only Health Care and FMCG sector stocks. Nifty future closed at premium of 7 points as compared premium of 15 points in previous trading session.On the Options front, maximum Put OI is at 5300 followed by 5400 strike price whereas maximum Call OI is at 5 600 followed by 5700 strike price. The Put Call Ratio based on Open Interest of Nifty significantly moved up from 1.03 to 1.1 levels. Historical Volatility of Nifty slightly moved up from 14.30 to 18.4 levels but Implied Volatility moved up from 15.34 to 15.38 levels. The market turnover increased by 134.55% in terms of number of contracts traded vis--vis previous trading day whereas in terms of rupees increased by 134.4%. MTECHTIPS:-Technical Snapshot
The Nifty gave a big thumbs-up to the governments first major action to reduce fiscal deficit by raising diesel price and limiting the number of subsidised cooking gas cylinders per household to six per year. Moreover, announcement of economic stimulus by the Federal Reserve too boosted the sentiments. Market-men even went ahead to overlook the higher August months WPI data. Indias main inflation gauge shockingly rose at 7.55% for the month of August, as compared to 6.87% (Provisional) for the previous month and 9.78% during the corresponding month of the previous year.The sentiments remained extremely bullish as investors piled up hefty positions not only in heavyweight stocks but largely across theboard amid hopes that the Reserve Bank of India may ease its monetary policy stance in the coming policy review meet on Sept 17.The frontline indices capitalized on the momentum and remained in euphoric mood for whole trading session without any interruption and even sailed beyond various crucial levels as governments decision to hike diesel prices raised hopes that reforms might be coming back on track. The rate sensitive like realty and banking space too aided the sentiments on hopes that a hike in diesel prices will provide room for Reserve Bank of India to ease monetary policy to give thrust on growth.The markets rose on overall volumes of over Rs 2.20 lakh crore, which remained on the higher side as compared to that on Thursday.