Mixed global cues might lead to flat opening in Indian Markets - Nirmal Bang

Indian Markets continued Friday's negative momentum on Monday. The markets ended down around 0.80% yesterday lead by the Oil & Gas stocks. The HSBC Manufacturing Purchasing Managers' Index (PMI) decreased to 50.1 in May from 51.0 in April. It was the third straight monthly fall in PMI. This has weighed on the markets.

Nifty Future closed down 40.85 pts on Monday at 5,959.20 shedding OI to the tune of 1.04 mn.

FIIs were net sellers in cash as well as Index Futures to the tune of 86.7 Cr and 1075.6 Cr. respectively.

India VIX increased by 1.76% to close at 17.29 touching an intra-day high of 17.91.

Addition in call OI at 5900, 6000 level suggest bearish undertone in the markets. But Nifty Future is expected to get support at 5900 level with Put OI build up to the tune of 5.96 mn.

Highest OI build-up is seen at 6200 Call and 5800 strike Put, to the tune of 5.86 mn and 6.01 mn respectively.

Markets are likely to open on a flat to positive note following the mix global cues and are likely to remain range bound during the day.

Source : Equity Bulls

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