FII TRADING ACTIVITY IN NIFTY FUTURE ON NIFTY SPOT LEVEL BASIS ON WEEKLY BASIS FROM 12 DEC 2011 TO 16 DEC 2011

FII TRADING ACTIVITY IN NIFTY FUTURE ON NIFTY SPOT LEVEL BASIS ON WEEKLY BASIS FROM 12 DEC 2011 TO 16 DEC 2011:-

AFTER ANALYSING THE ABOVE TABLE IT IS CLEAR THAT THIS WEEK FIIs HAVE ALSO CREATED SHORT POSITION IN NIFTY FUTURE RS. -1140.50 CR. @ 4710.15 NIFTY SPOT LEVELS.

FIIs HAD CREATED SHORT POSITION IN NIFTY FUTURE RS. -1848.51 CR @ 5006.21 NIFTY SPOT LEVEL IN PREVIOUS WEEK FROM 05 DEC 2011 TO 09 DEC 2011 AND WE SAW THAT NIFTY SPOT DID NOT CROSS 5006.21 UNLESS UNTIL DID NOT CROSS 4955 – 4935 ALSO THAT WAS LAST WEEKLY SUPPORT (FROM 12 DEC 2011 TO 16 DEC 2011) AND MADE THE NEW 52 WEEK LOW ALSO @ 4628.20 ON 16 DEC 2011 ALSO.

NOW THIS WEEK FROM 12 DEC 2011 TO 16 DEC 2011 AGAIN FIIs HAVE CREATED SHORT POSITION IN NIFTY FUTURE AND THE AVERAGE LEVEL OF SHORT POSITION OF NIFTY SPOT IS @ 4710.15. BUT IF WE SEE, THEN IT IS CLEAR THAT FIIs HAVE TAKEN SHORT POSTION IN 4 TARDING SESSIONS OUT OF 5 TRADING SESSION BY THIS WEEK FROM 12 DEC 2011 TO 16 DEC 2011 AND HAVE COVERED SOME SHORT POSITIONS IN THE LAST TRADING SESSION OF THE WEEK RS. 611.15 CR @ 4651.60 NIFTY SPOT LEVELS.

MEANS TO SAY ALTOUGH AGAIN FIIs HAVE TAKE SHORT POSITION IN NIFTY FUTURE ON OVER ALL BY THIS WEEK BASIS BUT HAVE SOME SHORT POSTION IN NIFTY FUTURE IN LAST TRADING SESSION ON FRIDAY 16^TH DEC 2011 OF THIS WEEK, SO BECAUSE OF SHORT COVERING SIGNAL BY FIIs SOME BOUNCE BACK IS EXPECTED IN THE NEXT WEEK FROM 19^TH DEC 2011 TO 23^RD DEC 2011.

BUT WE SHOULD KEEP IN MIND FIIs HAVE NOT BOUGHT ANY SINGLE AMOUNT IS CASH SEGMENT THIS WEEK (12 DEC 2011 TO 16 DEC 2011). WE SAW NIFTY SPOT MADE ITS NEW 52 WEEKS LOW @ 4628.20 ON 16^TH DEC 2011 BUT FIIs STILL DID NOT BUY ANY SINGLE AMOUNT IN CASH SEGMENT LIKE AT THIS MAJOR LOW LEVELS. MEANS FIIs ARE NOT SEEING ANY BUYING OPPORTUNITY ON LOWER LEVELS ALSO. THIS INDICATION CAN PANIC THE MARKET IN COMING TRADING SESSIONS.

OVERALL SOME BOUNCE BACK IS EXPECTED IN NIFTY SPOT BECAUSE OF SOME SHORT COVERING ONLY BUT IT WILL BE AGAIN SELLING OPPORTUNITY. 

NIFTY SPOT WEEKLY VIEW: - FROM 19 DEC 2011 TO 23TH DEC 2011 :-

NIFTY SPOT WEEKLY CHART FROM 12 DEC 2011 TO 16 DEC 2011

AFTER ANALYSING ABOVE CHART IT IS CLEAR NIFTY SPOT WILL FACE STRONG RESISTANCE ABOVE 4800 OR 4800 TO 4850. THIS WEEK NIFTY SPOT HAS MADE THE NEW 50 WEEK LOW @ 4628.20 BUT ON THAT LEVEL NO BUYING HAS SEEN IN THE MARKET BY FIIs IN CASH SEGMENT. NIFTY SPOT IS TRADING BELOW @ 4932.53 THAT IS MONTHLY BREAK – EVEN POINT OF DEC 2011 SERIES. IF NIFTY SPOT DOESN’T TRADE AND HOLDS ABOVE 4932.53 THEN SURLY CAN TOUCH OR BREAK 4538.61 ALSO. WHICH IS THE MONTHLY SUPPORT ON DEC 2011 SERIES BASIS. IF NIFTY SPOT BREAKS 4538.61 THEN CAN TOUCH 4245.18 – 3851.26 ALSO ON DEC 2011 SERIES BASIS.

SO OVER ALL TREND IS WEAK.

NIFTY WEEKLY TRADE (FROM 19^TH DEC 2011 TO 23^RD DEC 2011):-

BUY NIFTY FUTURE DEC EXPIRY @ 4625 – 4675, STOP LOSS @ 4550, TARGET @ 4730 – 4775 – 4835 + BUY NIFTY 4500 PUT DEC EXPIRY @ RS. 45 – 60, STOP LOSS @ RS. 18.75 (HEDGE POSITION AGAINST BUY NIFTY FUTURE) (FOR BULLS)

OR,

SHORT NIFTY FUTURE JAN EXPIRY @ 4700 – 4750 – 4800 (SHORT AT ALL THREE LEVELS), STOP LOSS @ 4865, TARGET @ 4610 – 4565 – 4508 – 4447 – 4375 + BUY NIFTY 4900 CALL JAN 2012 EXPIRY @ RS. 55 – 70, STOP LOSS @ RS. 30 (HEDGE POSITION AGAINST SHORT NIFTY FUTURE) (FOR BEARS)