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Nifty Open Interest Put Call ratio on the back of Call writing at 14600-14700 levels- HDFC Securities 

F&O HIGHLIGHTS

LONG UNWINDING WAS SEEN IN THE NIFTY & BANK NIFTY FUTURES

BE BEARISH WITH SL OF 14600

*Nifty fell more than 200 point from the intraday high and finally ended lower to close at 14549.40 levels.

*Long unwinding was seen in Nifty Futures’ where Open Interest fell by 0.45% with Nifty falling by 1.79%.

*Long unwinding was also seen in the Bank Nifty Futures, where we have seen 1.31% fall in the Open Interest with Bank Nifty falling by 2.6%.

*Amongst the Nifty options (25-Feb Expiry), Call writing was seen at 14600-14700 levels, Indicating 14600-14700 levels will act as a strong resistance. On the lower side, support is seen around 14500 where we have seen Put writing

*Short build up was seen by FIIS’ in the Index Futures segment where they net sold worth Rs 1677 Cr with their Open Interest going up by 12139 contracts.

To Sum It Up, Long unwinding in the Nifty and Bank Nifty Futures, fall in the Nifty Open Interest Put Call ratio on the back of Call writing at 14600-14700 levels and Short build up by the FIIs’ in the Index Futures segment Indicates that one should remain cautious for the markets

Therefore, our advise is remain bearish with the stop loss of 14600 level. On the lower side 14500- 14400 levels will act as a support where Puts have been written

In the Bank Nifty, our advice is to remain bearish with the stop loss of 34200 level. On the lower side, support is seen in the vicinity of 33000-32700 levels.

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