The Nifty ended last week with a gain of just 123 points, which is nothing significant, as one percent moves on a weekly basis is common. That’s the index side of the week.
The time values in both call and put options, seen right before the budget, clearly indicated heightened hedging activity is going on in the market.
There are more than 5,000 listed stocks on the Indian stock, exchanges with various qualitative traits, like good, bad and ugly.
The week before last, the Nifty was trading close to the upper end of the trading zone in which it had been moving for the last two months.
Unlike in the previous weeks, the Indian market showed more weakness compared to the international markets last week, as the mid-cap stocks remained mostly under pressure.
The Nifty zig-zag moves in the last eight weeks have made trade a bit easy; buy the Nifty when it moves towards the lower end of the range--which is anywhere close to 10,650-- and sell it, or even
The Nifty witnessed yo-yo moves in the entire five trading sessions last week.
While derivative instruments are always good hedging tools for traders, they also suit retail investors during the earnings season.
Around the same time last year, the market was on a roll. It then appeared that nothing could possibly go wrong with the Indian market in 2018.
The first week of the New Year was no different from the weeks or months before. Volatility and negative news flow persisted as in the last three months.