Nifty Outlook for the November Expiry,2011

November 17, 2011   ·   0 Comments

  • The Nifty Nov. future closed at a Premium of 14.45 point against a Premium of 9.70 points. The December Series closed at a Premium of 42.00 points.
  • The Implied Volatility of at the money options is decreased from 24.85% to 23.79%.
  • The PCR-OI has decreased from 1.21 points to 1.13 points. The total OI of the market is `1,34,439.30cr. and the stock futures OI are `32,438.05cr.

www.stockssavvy.comIt’s quite clear now that FII’s are on sell mode. Yesterday too they sold in cash market segment and shorted in index futures significantly. They are also hedging their short exposure by buying some at-the money calls. PCR-OI has fallen substantially especially because of yesterday’s development in options segment. We saw most of the puts in November series unwinding positions while 5000 and 5200 saw substantial buildup.

Right now, the Highest Open interest is at 5000 Puts & 5400 Calls right now which is the Support & Resistance for the Nifty levels for this month. Nifty should hold on to 5000 levels for this series & expiry should be above the 5000 levels. Even if 5000 is breached on nifty, Don’t short the nifty.

Rajesh Singla

Rajesh is the founder & CEO of Stockssavvy, Stocks analyst,financial advisor by choice,software engineer by fate,biker,gamer,cricket lover n enthusiastic person. He believes in doing things not just to get by but to get Ahead...

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