FII FnO Data Analysis for 07 march Trade for Nifty Futures

Below is my Interpretation of FII OI data Sheet for 06-Mar-12.

What a wonderful day for Day Traders, Whole months of profits could have been made in a single day. Nifty Futures made a swing of 196 points and if someone would have just followed 5287  (SAR Level) trader would have made decent profits.

At the End of day its all Boils down to your trading discipline.

Ride Profit (using trailing sl) and Cut losses very quickly, An age old adage easy to say difficult to follow.

SP came to power without any support of congress was enuf to spook markets and after a wild swing session we ended near the lows of the day.Markets are bound to remain volatile till 16 march.

1. FII  sold  14259  Contracts of NF worth 377 cores OI also increasing  by 35143 contracts.

2. As Nifty Futures was down by 68  points and OI has increased by 35143  contracts means fresh shorts are added in the system.

3. Nifty has been giving us good indication of being bearish with continuously closing below 20 SMA and today mid day upmove also unable to trade/close above 5420.

4. Investors who missed the Jan/Feb rally its good time for start buying large caps and mid caps stocks. Global Markets are slush with liquidity provided by LTRO and it will find its way to risky assets class, So start accumulating your favorite stocks.

5. Nifty March  OI has increased   by 8.84  lakh .Total OI stands at 2.58 cores  contracts.Fresh shorts were added.

6.Total F&O turnover was  1.65 Lakh  Cores  highest  in the series with total contract traded at 676885 .

7. In equity FII sold  241 cores DII for change bought  180 cores.

8. 5600 CE is having highest OI of  49  Lakhs seems with fresh addition of 1.5 Lakh contracts 5200 PE having highest OI of 75 lakhs with unwinding of  of 5 lakhs.As global markets are correcting 5200 PE base can get broken tomorrow and next base comes at 5000 PE with OI of 60 lakhs.

9. Fibo Ratio from 4532-5630 38.2% comes at 5214 which was protected today. Tomorrow if we open gap down 200 DMA@5165 should provide the support.50% retracement comes at 5084.

10. FII SAR for Today 5223 NF March((For Positional Traders) and VWAP at 5385 NF (Below this Level Bears will rule Nifty).

People who are carrying positional short would advise them to lighten themselves near 5160 NS levels.

 

Let me go by Disclaimer these are my personal views and trade taken on these observation should be traded with strict Sl

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