The index range is between 16580-18020. The provisional closing value of 17300 revealed financial weakness which is underpinned by surge expectations in Bad loans. As RBI extended the legally authorized period of delay on EMI’s by another 3 months through late of the month of August 2020.
The Bank Nifty F&O contracts open interest rose by 65% to 649113 as index value fell 2.6% to 17279 on Friday. The near-month contract spectated jump in open interest by 33% as its fell price to 17286 a share ( i.e., 1 lot equals 20 units of share), which is a negative indicator.
Amit Gupta, derivatives head, ICICI Securities said, “Ever since the index went down 18500, it has been a major underperformer”.