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Nifty resumed its uptrend on Monday on the back of strong global cues - HDFC Securities 

F&O HIGHLIGHTS

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

REMAIN BULLISH WITH THE TRAILING SL OF 15200

* After a pause on last Friday, Nifty resumed its uptrend on Monday on the back of strong global cues where it gained by 151 points to close at 15315 levels.

* Long build up was seen in Nifty Futures’ where Open Interest rose by 1% with Nifty rising by 1%.

* Massive Long build up was seen in the Bank Nifty Futures, where we have seen 13% rise in the Open Interest with Bank Nifty rising by 3.3%.

* Amongst the Nifty options (18-Feb Expiry), Put writing was seen at 15200-15300 levels, Indicating 15200 level will act as a strong support. On the higher side, resistance is seen in the vicinity of 15400-15500 levels where we have seen Call writing.

* Long build up was seen by FIIS’ in the Index Futures segment where they net bought worth Rs 523 Cr with their Open Interest going up by 8107 contracts.

To Sum It Up, Long build up in the Nifty and Bank Nifty Futures, rise in the Nifty Open Interest Put Call ratio on the back of Put writing at 15200-15300 levels and long build up by the FIIs’ in the Index Futures segment Indicates that one should continue to remain bullish for the markets Therefore, our advise is accumulate long positions with the trailing stop loss of 15200 levels.

On the higher side 15400-15500 level will act as a resistance where Calls have been written In the Bank Nifty, our advice is to accumulate long positions with the stop loss of 37000 levels. On the higher side, resistance is seen in the vicinity of 37800-38000 levels.

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