The sentiment for Nifty and Bank Nifty took a downturn on the end-of-day charts when the BRExit poll results were announced. Concurrently, global markets reacted significantly to the BRExit poll outcome. The USDINR Spot concluded at approximately 67.8264, while GBPINR experienced a substantial loss of nearly 5%. Among the top sector performers, Reality, Capital Goods, and Metals were the hardest hit, each recording losses exceeding 3%.
— The Economist (@TheEconomist) June 24, 2016
The Positive sentiment in the system got completely damaged with this event. We are expecting this expiry series to continue with more uncertainty and the underlying volatility is expected to raise. Fridays movement in nifty impacted the sentiments of put writers. However the behavior of index put writing is still witnessed in the system and the repercussions are seems to be not over for them.
FII’s are actively long in net naked put options which indicates a possible downtrend continuation in the upcoming sessions. CBOE VIX up 42% at the time of writing this article which can be used as a proxy to predict our market volatility in near term. Hence Volatility madness to continue.
— Marketcalls (@marketcalls_) June 24, 2016
— Marketcalls (@marketcalls_) June 25, 2016