INSUBCONTINENT EXCLUSIVE:
The Nifty could gyrate within a 1000-point range in the coming week, options for April 16 expiry showed at closing Thursday.
The closing
She sells a straddle in the belief that the market would trade within a range and makes the maximum money if it expires at the level she
sold the call and put, 9000 in this case.
Every point the Nifty moves above or below that level reduces her profit until the upper breakeven
(9480) or lower breakeven (8520) points are reached
Beyond and below these points, unlimited losses would begin unless she has placed a stop-loss.
Market constituents like Hormuz Maloo,
After hitting that level, the market closed lower at 8748.75
On April 9, the market closed above the resistance of 9038.9, which was the high of the same week when 7511.10 was made
But it closed below the high of 9131.7.
Rohit Srivastava, founder, India-Charts, expects 9131.7 to be broken conclusively and that the Nifty
would head toward 10000 this month
Analysts expect factors like US market performance and decision on the lockdown in India to be some of the influencing factors for the
market.
In the calendar year to date, FIIs have sold shares worth Rs 50,981 crore
They were cumulatively net short Nifty and Bank Nifty contracts by 17288 contracts
HNIs and corporate clients have net short index futures by 17511 contracts
The latter have hedged themselves or are betting on a correction in Nifty, for now.
