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Below are perspective on today’s F&O Expiry by Mr. Chandan Taparia, Derivative & Technical Analyst, Motilal Oswal Financial Services.

Nifty May series settled with the gains of 2.97% as it closed at 15337 compared to April close of 14894 levels. It continued the formation of higher high - higher lows in all the four weeks of the series and moved in between 14400 to 15400 zones. Now, till Nifty holds above 15150 zones, we are expecting a fresh move towards 15500 and 15800 zones.

India VIX fell down by 14.55% in series from 23.30 to 19.91 zones and lower volatility with higher market base indicates that bull are likely to keep their tight grip on the market.

On option front, Maximum Put OI is at 14000 followed by 14500 strike while maximum Call OI is at 16000 followed by 15800 strike. Call writing is seen at 15300 and 15800 strike while Put writing is seen at 15000 then 14700 strike. Option data suggests a trading range in between 15000 to 15800 zones.

Bank Nifty May series settled with the gains of 4.09% as it closed at 35095 compared to April close of 33714 levels. It witnessed strong move in last two weeks and rallied from 32000 to 35220 marks by hitting the monthly high on last day of the series. Now it has to hold above 34500 zones to witness an up move towards 36000 and 36500 zones while on the downside support exists at 34250-34150 zones.

Nifty IT rallied by 4.99% and heading towards new life high territory along with long rollover so stocks like Wipro, TCS, Coforge, Mindtree, INFY could continue to move higher. Nifty Auto managed to hold support and gained after decline of last three series with close of 7.29% higher to last series, positive bias in TVS Motor, Maruti, Tatamotors. Nifty Metal did well in first half of the series but long liquidation was seen in last three weeks.

Higher rollover compared to last 3-month average, rising Put Call Ratio and Falling volatity indicates that bulls are likely to hold command to take the indices on new life time high zones.”

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