๐ SUMMARY OF OPEC PRODUCTION CUTS ๐
1️⃣ Saudi Arabia to extend 500K barrel per day cuts until 2024
2️⃣ Saudi Arabia to cut an additional 1 million barrels per day voluntarily
3️⃣ Iraq to extend 211K barrels per day cuts until 2024
4️⃣ Russia to extend voluntary production cuts until 2024
5️⃣ OPEC agrees to new production target of 40.5 million barrels per day
๐This comes after Saudi Arabia told oil short sellers to “watch out.”
๐OPEC is not messing around.
Trade setup for today: Top 15 things to know before the opening bell
๐A bounce is expected in the market during the week. For the Nifty, hurdle is at 18,650-18,850, while immediate support is seen at 18,400-18,300, Nagaraj Shetti of HDFC Securities has said
๐The market recouped the previous day's losses and snapped a two-day losing streak on June 2, on broad-based buying, with the Sensex closing 119 points higher at 62,547 and the Nifty50 ending at 18,534, up 46 points.
๐The Nifty, which traded within the previous day's range, formed a small bodied bearish candlestick with minor upper and long lower shadows on the daily charts. The pattern indicates formation of Inside Bar candle with overlapping candles.
๐"The positive chart pattern like higher tops and bottoms continued as per daily timeframe chart and the present consolidation could be in line with the higher bottom formation of the pattern. The higher bottom reversal pattern has not been confirmed yet," Nagaraj Shetti, Technical Research Analyst, HDFC Securities, said.
๐Considering the recent consolidation and the subsequent negation of such bearish patterns, one can expect a bounce in the market in the coming week, he said. For Nifty, immediate support is at 18,400-18,300 and the upside hurdle is at 18,650-18,850, Shetti said.
๐The broader market outperformed the benchmark. Nifty midcap 100 and smallcap 100 indices gained half a percent each.
Key support, resistance levels on Nifty
๐The Nifty may get support at 18,492 followed by 18,470 and 18,433. If the index advances, 18,565 will be the key resistance followed by 18,588 and 18,624.
Nifty Bank
๐The Bank Nifty also traded in line with benchmarks, rising 148 points to 43,938 on June 2 and formed a small bearish candlestick with upper and lower shadows, which resembled the Inside Bar pattern on the daily scale, indicating rangebound trade. It continued forming llower highs for the third straight day.
๐"At this juncture, the Bank Nifty has rising trendline support at 43,700. Going ahead, a close below 43,700 might spoil the party for the bulls and we might witness profit booking in the markets," Jigar S Patel, Senior Manager - Equity Research, AnandRathi, said.
๐On the upside, 44,500 would be an initial resistance on way to the 45,000 milestone.
๐As per the pivot point calculator, the Bank Nifty is expected to take support at 43,841 followed by 43,776 and 43,670. Resistance will be at 44,052 then 44,117, and 44,223.
Call options data
On the weekly options front, the maximum Call open interest (OI) was at 19,500 strike, with 1.06 crore contracts, which is expected to be a crucial resistance level for the Nifty.
This was followed by 18,600 strike comprising 1.03 crore contracts and 18,500 strike with more than 77.14 lakh contracts.
Meaningful call writing was seen at 18,600 strike, which added 42.43 lakh contracts, followed by 19,500 strike, which added 41.63 lakh contracts, and 18,800 strike, which added 24.66 lakh contracts.
Call unwinding was at 18,300 strike, which shed 21,750 contracts, followed by 18,100 strike, which shed 17,250 contracts, and 17,700 strike, which shed 6,400 contracts.
Put option data
On the put side, the maximum open interest was at 18,500 strike, with 1.02 crore contracts, which is expected to be an important support level in the coming sessions.
It was followed by the 18,600 strike, comprising 57.99 lakh contracts, and the 18,000 strike with 44.12 lakh contracts.
