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Nifty outlook: 

The bullish exhaustion that emerged after entering the 17860-960 band hints at a full fledged reversal, but we are inclined to look for a bounce back from the 17700 vicinity. However, a close below the same today could substantially increase the odds of a 17000-16650 plunge,though one may wait for a break of 17430 as confirmation.  

Derivative:

Nifty weekly contract has highest open interest at 18250 for Calls and 17000 for Puts while monthly contracts have highest open interest at 17900 for Calls and 17800 for Puts. Highest new OI addition was seen at 18000 for Calls and 17000 for Puts in weekly and at 18000 for Calls and 16500 for Puts in monthly contracts. FIIs increased their future index long position holdings by 7.10%, increased future index shorts by -20.51% and in index options by -1.08% in Call longs, 2.54% in Call short, -11.57% in Put longs and 4.74% in Put shorts.  

USD-INR outlook:

The stickiness to the 79.70 region continues, and the odds of a gigantic move soon has increased substantially. The next breakout beyond 79.5-79.8 could call for either 80.1-80.3or 78.8, with bias tilted towards a 80.3 spike.