FII Activity: Bearish Sentiment in Nifty Index Futures
Foreign Institutional Investors (FIIs) displayed a bearish approach in the Nifty Index Futures market by shorting 8,648 contracts worth ₹642 crores. This resulted in a decrease of 1,684 contracts in the net open interest.
FIIs covered 8,651 long contracts and added 7,409 short contracts, reflecting a preference for reducing their long exposure while increasing their short positions in Nifty Futures. The net FII long-short ratio is 0.76, indicating a more bearish stance.
On the other hand, Clients added 33,424 long contracts and 12,176 short contracts, showing positioning in both directions as part of their trading strategy.
Current Positioning in Index Futures:
- FIIs: Holding 36% long and 64% short positions.
- Clients: Holding 62% long and 38% short positions.
Analysis:
FIIs are showing a more bearish bias, with a higher percentage of short positions. Meanwhile, clients remain more optimistic, holding a larger percentage of long positions.
Nifty had a quiet day, as the price reacted from the Gann Octave Point. The index opened lower and traded in a narrow range throughout the day, indicating that the market is undergoing a time correction following Friday’s volatile move.
With two important astrological dates in play today, the Doji formation on such a date often serves as a helpful indicator for capturing the next trade setup.
Key Levels to Watch:
- For Bulls: Momentum will build above 24,780.
- For Bears: A break below 24,601 could trigger a decline.
In between these levels, the price is likely to continue its time correction.
Trading Success Starts Here: Tips for Creating Positive Habits
As soon as Nifty broke 24,601, which was the confluence of Gann and Astro levels, we witnessed a waterfall decline, and the intraday timing discussed in the video below worked perfectly. The price closed below the 3×4 Gann angle and also highlighted the importance of the Gann Octave level of 24,770.
Now, the range of 24,270-24,320 is a crucial support zone. If this level holds, we can see a relief rally towards the 24,519/24,600 range. However, a break below 24,250 could trigger a further decline toward 24,180/24,040.
Astrological Insights for Tomorrow:
We have two important astrological events tomorrow, so the first 15 minutes’ high and low will be crucial for setting the tone of the day:
- Moon Conjunct Mars
- Rule No. 38 – Mercury Latitude Heliocentric: “Some mighty fine tops and bottoms are produced when Mercury, in this motion, passes the above-mentioned degrees.”
Nifty Trade Plan for Positional Trade ,Bulls will get active above 24388 for a move towards 24467/24545. Bears will get active below 24310 for a move towards 24231/24153/24074
Traders may watch out for potential intraday reversals at 09:42,11:40,12:39,02:16,02:56 How to Find and Trade Intraday Reversal Times
Nifty December Futures Open Interest Volume stood at 1.10 lakh cr , witnessing addition of 1.88 Lakh contracts. Additionally, the increase in Cost of Carry implies that there was addition of SHORT positions today.
Nifty Advance Decline Ratio at 01:49 and Nifty Rollover Cost is @25178 closed below it.
Nifty Gann Monthly Trade level :24406 close below it.
Nifty has closed below its 50 SMA @ 24403 Trend has changed to Sell on Rise till below 24412
Nifty options chain shows that the maximum pain point is at 24400 and the put-call ratio (PCR) is at 0.62 Typically, when the PCR open interest ranges between 0.90 and 1.05, the market tends to remain range-bound.
Nifty 50 Options Chain Analysis
The Nifty 50 options chain indicates that the highest open interest (OI) on the call side is at the 24700 strike, followed by 24800 strikes. On the put side, the highest OI is at the 24400 strike, followed by 24300 strikes. This suggests that the market participants are expecting Nifty 50 to remain range between 24500-24800 levels.
Retail Activity in Options Market: Bullish Bias Indicated
According to today’s data, retail investors bought 325K Call Option contracts and shorted 234K Call Option contracts. Additionally, they sold 44K Put Option contracts and covered 301K Put Option contracts, indicating a bullish bias in the market.
FII Activity in Options Market: Bearish Bias Indicated
Foreign Institutional Investors (FIIs) bought 87K Call Option contracts and shorted 122K Call Option contracts. On the Put side, FIIs covered 87K Put Option contracts and shorted 87K Put Option contracts, suggesting a shift towards a bearish bias.
In the cash segment, Foreign Institutional Investors (FII) sold 6409 crores, while Domestic Institutional Investors (DII) bought 2706 crores.
Traders who follow the musical octave trading path may find valuable insights in predicting Nifty’s movements. According to this path, Nifty may follow a path of 23408-24105-24801 This means that traders can take a position and potentially ride the move as Nifty moves through these levels.Of course, it’s important to keep in mind that trading is inherently risky and market movements can be unpredictable.
If you want to be a successful trader during a loss-making period, you need to learn the art of losing. If you condition your mind to lose without anxiety, without emotional attachment, and without the desire to get even, things will start turning around for you.
For Positional Traders, The Nifty Futures’ Trend Change Level is At 24570. Going Long Or Short Above Or Below This Level Can Help Them Stay On The Same Side As Institutions, With A Higher Risk-reward Ratio. Intraday Traders Can Keep An Eye On 24495, Which Acts As An Intraday Trend Change Level.
Nifty Intraday Trading Levels
Buy Above 24378 Tgt 24421, 24463 and 24521 ( Nifty Spot Levels)
Sell Below 24300 Tgt 24266, 24220 and 24166 (Nifty Spot Levels)
Wishing you good health and trading success as always.As always, prioritize your health and trade with caution.
As always, it’s essential to closely monitor market movements and make informed decisions based on a well-thought-out trading plan and risk management strategy. Market conditions can change rapidly, and it’s crucial to be adaptable and cautious in your approach.
Join Youtube channel : Click here
► Check out Gann Course Details: W.D. Gann Trading Strategies
► Check out Financial Astrology Course Details: Trading Using Financial Astrology
► Check out Gann Astro Indicators Details: Gann Astro Indicators