MTECHTIPS EQUITY MARKET NEWS

MTECHTIPS:-Market Snapshot & Options Analysis Nifty futures continued to trade in a narrow band of 30 points as friction between the realty, banking, FMCG, capital goods, oil & gas, metal, auto and information technologies stocks prevailed. During the day losses in Axis Bank, BHEL, SBIN, Jindal Steel, DLF, Wipro, TCS and Hindustan Unilever were pared off by the gains in Sun Pharma, Bharti Airtel, Bajaj Auto, Coal India, Tata Steel, Hero Moto Corp, HDFC and Tata Motors. After witnessing intra-day volatility the Nifty, finally shut shop with a gain of 5 points at 5363. The overall volume in futures & options currently stands at 28.67 lakh contracts with a turnover of Rs76,375 crore whereas the volume in the Nifty futures was higher compared with the previous trading volume.On the Options front,Nifty call options added 21.97 lakh shares in open interest whereas put options added 13.92 lakh shares in open interest. The Put Call Ratio based on Open Interest of Nifty closed at 0.96 levels. The implied volatility has increased by 1-6%, indicating selling pressure will continue to emerge at higher levels. Also, 5400 on a closing basis will act as a hurdle going forward. Around 16.28 lakh shares were reduced in open interest with a significant decrease in the cost of carry, indicating long positions were unwound by the market participants in todays session. MTECHTIPS:-Technical Snapshot The Nifty went on to consolidate the recent gains in Mondays session by settling just above the neutral line. It turned out to be a range bound session for the frontline indices which somehow managed to stick on to the levels reached on Saturday, as investors at large chose to play the waiting game ahead of a series of developments both from the domestic as well as global front which will pave the way forward for the local bourses.Marketmen awaited the release of industrial production (IIP) data for July, amid speculations that IIP might edge up 0.3 percent year on year in July, after shrinking 1.8 percent in June, which was the third contraction in four months. Traders also remained cautious ahead of August headline inflation figure slated to be released on September 14. Inflation remains above the comfort level of the government, as well as the Reserve Bank. The new data will provide key inputs for a decision on interest rates ahead of RBIs monetary policy review on September 17.Metal stocks provided strength to the key benchmarks as metal shares like NMDC, Hindalco, Sail, Tata Steel, JSW Steel and Sterlite Industries edged higher as LMEX, a gauge of six metals traded on the London Metal Exchange, jumped 3.01%. Auto space too remained one of the top gainers after Petroleum Minister Jaipal Reddy stated that state-run oil companies dont have an immediate plan to increase the prices of fuel products such as gasoline and diesel despite their mounting revenue losses.