Nifty PCR Open Interest marginally up at 0.88 - Aditya Birla Money

NIFTY PCR_OI moved marginally up at 0.88 (rebounding from low 0.80), with 5400 and 5500 PE saw addition of 13 and 6.5 lakh shares total OI 64.4 and 61.4 lakh shares on other hand 5700 CE saw unwinding of 2.1 lakh shares with total OI at 83 lakh shares (PCR-OI of 5600 at 0.92) implying immediate short term NIFTY will find support at 5500-5450 levels.

INDIA VIX corrected 2% at 16.59 (intraday corrected from 17.5, 4th time in 3 months) though still above 16 levels, we have to watch for if moves below 16-15.5 and sustain below this levels, Bulls will have upper hand and pull back may continue NIFTY may retest at 5630 levels.

FIIs continue to be sellers in NIFTY Fut. Rs 218 Cr. ( shorts continue again gaining momentum last 5 days sold 3416 Cr.); as we enter new series INDEX Options 1st time saw a selling 280Cr (hedging unwounded as VIX corrected from 17.5 levels, implying FIIs expect volatility to ease a bit more ), stock futures saw buying 608 Cr; selling stalled in cash as they turn buyers to the tune of 40 Cr. selling on cash front stalling with hedging in NIFTY unwounded for a day expecting VIX to ease more, implying NIFTY may retest 5630-5650 levels

Over all PE writers were seen building positions, Index will find support 5450-5500 levels.

Source : Equity Bulls

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