Indian Markets end down 1.69% on Monday - Nirmal Bang

The Indian Markets continued the Friday's carnage to end down 1.69% on Monday. Weakness in rupee on account of renewed concerns regarding US QE3 tapering once again weighed on the markets yesterday.

FIIs were net sellers in cash as well as Index Futures to the tune of 680.1Cr and 101.2Cr respectively.

India VIX has reported an increase of 8.25% to close at 25.59 touching an intra-day high of 26.99.

Massive addition in call OI build up at 5400 & 5500 together with shifting of put OI build up to the lower strikes such as 5300 and even at 5100 indicates strong bearish undertone in the markets.

But the put OI build up at 5400 & 5300 are expected to provide firm support to the Nifty.

Highest OI build-up is seen at 5700 Call and 5300 strike Put, to the tune of 8.75 and 7.76 mn respectively.

Markets are likely to open on a negative note following the mix global cues and can bounce back later during the day mainly due to short covering.

Source : Equity Bulls

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