Nifty Futures and Options data analysis

As was suggested in my earlier post that Futures and Options data analysis was indicating weekly Options expiry to be below 11600. Well the high made on Thursday was 11599 and the closing was at 11582.

Derivatives data analysis
FIIs net bought 5.8K contracts worth Rs 572.07 Cr

274 Long contracts were squared off and 6.1K Short contracts were squared off by FIIs.

Retail clients added 292 Long contracts and squared off 2.5K short contracts

On the Options front

Call Option
FIIs squared off 15K Long contracts and also squared off 28.3K Short Contracts

Retail clients squared off 5.65 Lakh Long contracts and also squared off 3.3 Lakhs Short contracts

Put option
FIIs squared off 9.5K Long contracts and also squared off 10.4K Short contracts

Retail clients squared off 1.24 Lakh Long Put contracts and also squared off 1.09 Lakh Short Put contract

The heavy squaring off of Options contracts by retail clients reflect the concentration on weekly Options expiry

Going forward

As can be seen from data the run up was clearly led by short covering rally only

The Bears were happy to book profits. But We need further confirmation. If this Short covering rally is not backed up by fresh buying then Bears will know that Bulls have been cornered. And that might tempt them to short again.

Resistance at 11620 / 11658 / 11770

Support at 11530 / 11460 / 11430 / 11280

Take care and safe trading...!!!