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Nifty Open Interest Put Call Ratio rose to 1.66 levels from 1.59 levels - HDFC Securities

F&O HIGHLIGHTS

LONG BUILD UP IS SEEN IN THE NIFTY AND BANK NIFTY FUTURES

HOLD LONG POSITION WITH THE TRAILING STOP LOSS OF 17000​​​​​​​

* Nifty rose more than 220 points from the intraday low on the back of positive global cues and finally ended the day with the gain of 201.15 points to close at 17132.20 levels.

* Long build up was seen in Nifty Futures’, where Open Interest rose by 4% with Nifty rising by 1.9%

* Long build up was seen in Bank Nifty Futures’ too where Open Interest rose by 5% with Bank Nifty rising by 0.21%. Bank Nifty underperformed the border Nifty in yesterday’s session.

* Nifty Open Interest Put Call Ratio rose to 1.66 levels from 1.59 levels. Amongst the Nifty options (02-September Expiry), Put writing was seen at 17000 levels, Indicating Nifty is likely to find support in the vicinity of 17000-16900 levels. On the higher side, an immediate resistance is seen in the vicinity of 17200-17300 levels where we have seen Call writing.

* Long build up was seen by FIIS’ in the Stock Futures segment where they net bought worth Rs 2589 Cr with their Open Interest going up by 40624 contracts.

To Sum It Up, long build up in the Nifty and Bank Nifty Futures, PUT writing at 17000-16900 levels and long build up by FIIs in the Stock futures segment Indicates that one should remain optimistic for the markets.

Therefore, our advise is to remain bullish with the trailing stop loss of 17000 levels. On the higher side 17200-17300 level will act as an immediate resistance where Calls have been written

In the Bank Nifty, our advice is to accumulate longs with the stop loss of 36300 levels. On the higher side, resistance is seen in the vicinity of 36600-36800 levels.

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