General Anti-Avoidance Rules (GAAR) is the buzzword for every trader in Indian Stocks, Indian Markets have lost almost 10Billon$ of funds because of lack of clarity on GAAR.It is feared that the new rules could lead to a significantly high tax liabilities for FIIs, even if they route their funds through tax-friendly jurisdictions. Besides, the FIIs could be forced to pass on their tax liabilities to their P-note clients, thus adversely impacting their overall returns on investment.
Nifty is trading at 3 months low and breached the psychological and sacrosanct level …

The April Series has been listless series which can be best summarized as the series of consolidation after a Topsy turfy ride in volatile march series. Consolidation is an integral part of market which is very much required before next big move. May Series promises to be a month of big moves. Lets jump into technicals on what in for Nifty for month of May.
Nifty Hourly Chart
Hourly chart are trading below the 50 HSMA which means bears are strong upper hand till Nifty is trading below 5226. Bollinger Band pattern …

1. FII  sold 13686  Contracts of NF worth 314 cores OI also increased by 77488.
2. As Nifty Futures was down  by 26 points and OI has increased  by 77488 , ieFall in Price with Rise in Open Interest,Fresh shorts were added by FII.
Today we saw an huge increase in OI and with S&P coming with a negative outlook on Indian Sovereign and Downgrading the 3 IT top boys Infy,TCS and Wipro and also downgraded  11 financial institutions:
Axis Bank Ltd. (BBB-/Negative/A-3) Bank of India (BBB-/Negative/A-3) HDFC Bank Ltd. (BBB-/Negative/A-3) ICICI Bank …

Below is my Interpretation of FII OI data Sheet for 20-Apr-12.

1. FII  sold 5957  Contracts of NF worth 102.69 cores OI also increased  marginally by 3397.
2. As Nifty Futures made a dramatic low of 5000 with a fall of  300 points in 2.5 minutes by the Algo trading hitch by CLSA and recovery equally faster, by closing was down  by 54 points and OI has increased  by 3397, ie.Fall in Price with Rise in Open Interest,Fresh shorts were added by FII.
3. Nifty  closed above 20SMA@5262 first sign of strength but …

“The ability to accept the many ups and downs of the market is one of the most important skills a trader can have.”
This is an Apt one liner on what happened on Friday at 2:30 PM.  “Flash Crash” happened in NF

The Nifty futures crashed over 300 points in afternoon trade, Nifty April futures plunged to a low of 5,000. A total of 51.49 lakh shares were traded between 2.25 pm-2.35 pm.
Infosys April futures hit a low of Rs 1,950 at 10.45 am. 67250 Infosys got traded in which it made …

Below is my Interpretation of FII OI data Sheet for 17-Apr-12.

1. FII  bought 20582  Contracts of NF worth 503.41 cores OI also increased  by 17768.Surprise Rate cut of 50 BPS is a welcome booster for Bulls. Listless market which was lacking triggers got a boost of liquidity from RBI
2. As Nifty Futures was up  by 71 points and OI has increased  by 17768, ie.Rise in Price with Rise in Open Interest,Fresh longs were added by FII.
3. Nifty  closed above 20SMA@5260 first sign of strength next trigger being  and 50 SMA@5339. …

Below is my Interpretation of FII OI data Sheet for 16-Apr-12.
1. FII  sold 12620  Contracts of NF worth 333.58 cores OI also decreased  by 400. FII going into RBI credit policy with lighten positions.

2. As Nifty Futures was up  by 27 points and OI has decreased  by 400,FII have liquidated there longs.Rise in Price with fall in Open Intrest
3. Nifty  closed below 20SMA@5262 and 50 SMA@5339  for today making it bearish in short term. Trend is favoring bears and Sell on rise should be mantra for the positional traders.With the …

Below is my Interpretation of FII OI data Sheet for 10-Apr-12.

1. FII  sold  26837  Contracts of NF worth 687 cores OI also increased  by 2201.
2. As Nifty Futures was up  by 13 points and OI has increased  by 2201,now as they were net sellers of  26837 contracts with  6 days in April series they have net sold 68532 contracts. So we are seeing shorts entering into the system. Nifty Reacted sharply from the upper end of series ie.5382 and looking at last 6 days of data it prudent to assume …

Below is my Interpretation of FII OI data Sheet for 09-Apr-12.

1. FII  sold  43232  Contracts of NF worth 1092 cores OI also decreased  by 2630.
2. As Nifty Futures was down  by 92 points and OI has decreased  by 2630 ,which basically means profit booking on shorts and also Long liquidation as they net sold 43232 Contracts.
3. Nifty  closed below 20SMA@5301 and 50 SMA@5333 for today making it bearish in short term. Trend is favoring bears.
4.Trading range for NF is 5380-5221. It touched the upper end unable to sustain and bears …

Below is my Interpretation of FII OI data Sheet for 04-Apr-12.

1. FII  sold  6365  Contracts of NF worth 168 cores OI also decreased  by 12831 contracts.
2. As Nifty Futures was down  by 38 points and OI has decreased  by 12831 Contracts ,which basically means profit booking on shorts and also Long liquidation as they net sold 6365 Contracts.
3. Nifty  closed above 20SMA@5300 which is good for bulls but unable to close above 50 SMA@5330.
4. I have been talking about the range of 5221-5370 NF based on Rollover data,Nifty highest close …