Below is my Interpretation of FII OI data Sheet for 2-Feb-12.
1. FII bought 11919 Contracts of NF worth 328.75 cores OI also increased by 7895 contracts.
2. OI has increased by 7895 Contracts which means FII have moved towards long side of trade, Still no signs of shorting the index
3. Averge traded price from FII data comes at 5516 which is way higher than today’s traded price of 5272, which means institution have done lot of day trading.
4. Nifty trend is strong which can be understood how the Dips on Supreme Court cancelling the licensees the dips get bought into with a sharp V shaped recovery. FII SAR 5228 came to our savior again as panic Low was at 5232 and Nifty bounced back sharply.
5. NF premium has declined considerably from the high of 35 yesterday to 5-6 points today and the reason why Nifty Puts were still positive when Nifty was down.
6. Channel Breakout happened in Nifty with a DOJI candle subjecting state of indecision between Bulls and Bears but on such important juncture always confirm the same with Sensex
SENSEX has still not shown channel breakout
As shown in above chart Sensex has still not shown the channel breakout. Nifty has been doing whipsaw in past but sensex never does so .
7. Nifty OI has decreased marginally by 91K contract.Total OI stands at 2.18 contracts
8.Total F&O turnover was 1.20 Lakh cores highest in the series.Today was the 2 day Nifty closed above 200 DMA. More time spent over 200 DMA more strength bulls gain. 200 DMA now stands at 5192
9. In equity FII bought 1941.43 cores DII sold 653.2 cores.Today they bought one of the highest buy in recent months.
10. 5300 CE is having highes OI of 57 Lakhs whereas 5000 PE is having the highest OI 65 Lakhs,5100 PE has second highest OI of 64 Lakhs. Range has shifted to upper end.
11. Heavy Puts writing was seen in 5000-5200 PE in total of 25 Lakhs. Total 69 Lakhs added in 3 days. Massive Put writing with fresh addition of 11 lakhs in 5200 PE signify the confidence of Bulls. In such cases a shake out scenario should come tomorrow with Nifty dipping near 5200.
12. FII SAR has increased to 5234 and VWAP at 5204.
Buy above 5290 Tgt 5326 ,5343 and 5370
Sell below 5260 Tgt 5245,5226,5205
All levels mentioned are SPOT levels.
Let me go by Disclaimer these are my personal views and trade taken on these observation should be traded with strict Sl
We do discussion is Live market to update Nifty levels If you are interested you can LIKE the page to get Real Time Updates.
Follow on Facebook during Market Hours: http://www.facebook.com/pages/Brameshs-Tech/140117182685863