I am Looking at FII OI data Sheet for 17 No, I have made the following Interpretation.
Let me go by Disclaimer these Observation should not be used as Trade recommendation in NF
1. FII sold 44130 Contracts in NF worth 1076 Cores in Index Futures with Open Interest Increasing by 57640 contracts.
Now this is Interesting as Open Interest has not risen but has fallen today. Going by classic OI Theory
Fall In Price with rise in Open Interest means FII has added shorts in Future and there total shorts in November series are in tune of 1.15 Lakh.
2. In Equity cash segment they sold only 192 cores fall of 100 Points in Nifty but no heavy cash based selling by FII whereas DII were buyers in tune of 371.59 cores.
3. I have mentioned in my morning post 5054 NF we had a highest volume yesterday in tune of 78K contract and today we made a high of 5052 and never touched 5054 shorts were established yesterday only.
4. As per Options data 5000 PE writers were taken by surprise in afternoon session massive unwinding of 13 lakh contracts took place.
5. 5000 CE added 13.7 Lakhs in Open interest followed by 5100 CE.
6. Total Call written today was 60.4 Lakhs and total puts written today were 30.4 lakhs so things have turned extremely bearish as per Option table.
7. 4900 PE is having highest OI @65 Lakh followed by 4800 PE @56 Lakhs so tomorrow if global cues are bad again one more round of fresh selling can commence as we do not have much addition in 4800 PE or smart money wrote 4900 PE today thinking 4915 is low made in this series.
8. We have been falling from 5326 to 4915 from last week and FII OI is highest today in series so if global markets did not improve than the sacrosanct low of 4720 will be taken back in the series.
9. FII bought 200 cores in Stock Futures there first buy after 8 nov.
Looking at above data sheet we need to look for 4915 tomorrow break below it and close below 4900 will lead another round of fall but holding 4900 we can see a decent bounce till 5003 as its was last hourly high today.