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Nifty Open Interest Put Call ratio rose to 1.41 from 1.32 level  -  HDFC Securities

F&O HIGHLIGHTS

LONG BUILT UP WAS SEEN IN THE NIFTY & BANK NIFTY FUTURES

ACCUMULATE LONGS WITH THE STOP LOSS OF 17200 LEVELS​​​​​​​

* The Nifty ended with decent gains on the last trading day of 2021. The Nifty closed above the 17,350 mark. All the sectoral indices on the NSE ended higher. Metals, auto and consumer durables stocks were in demand. Nifty Finally closed up by 150 points at 17354.05.

* Long built up was seen in the Nifty Futures where Open Interest rose by 7.29% with Nifty rising by 0.87%.

* Long build up was also seen in the Bank Nifty Futures where Open Interest rose by 2.58% with Bank Nifty rising by 1.19%.

* Nifty Open Interest Put Call ratio rose to 1.41 from 1.32 level. Amongst the Nifty options (06-Jan Expiry), Put writing is seen at 17200 levels, Indicating Nifty is likely to find support in the vicinity of 17200 - 17300 levels. On the higherside, an immediate resistance are seen in the vicinity of 17500 - 17500 levels where we have seen Call writing.

* Long built up was seen by FIIS’ in the Index Futures segment where they net bough worth Rs 884 Cr with their Open Interest going up by 11607 contracts. To Sum It up, Long built up in the Nifty & Bank Nifty futures, Long build up by FII’s in the Index Futures and Put writing at 17200 levels Indicates that Indicates that one should be optimistic on the markets.

Therefore, our advise is to accumulate longs with the stop loss of 17200 levels. On the higher side 17500 - 17600 levels will act as a strong resistance.

In the Bank Nifty, our advice is to go long with trailing SL of 35000 levels. On the higher side 36000 - 36500 level may act as resistance going forward.

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