Nifty Holds Strong Amidst All Odds

Indian Market Outlook: Indian benchmark Index Nifty saw a sharp upside rally of 90 points from a low of 8078 to make a high of 8148 and finally closed at 8143. The market fears of demonetization and its negative effects on economy seem to have subsided as the broader Indices like Small Cap and Bank Nifty continue outperforming Nifty. After RBI's latest move to curb excess liquidity with the banks, it was expected to put some pressure on the markets especially the banking shares, which may get the worst hit. Irrespective of all the odds, Indian Indices maintained their strength throughout the trading yesterday.

Nifty Futures, if trades convincingly above 8138, its previous week high, the next target as per Dynamic Levels is 8287.

FII have been net sellers on the cash markets but past two days there has been some buying in NSE Small Cap Index which has risen up by 300 points from low of 5408. However, FII have ended the month of November with a net selling in the cash market worth Rs. 17023 Cr, the highest single month sell figures for the year 2016.

Nifty Dec Futures is expected to open at 8154 as per SGX Nifty at 8:30 am IST, which is 11 points above its previous close of 8143.

FII Activity for the year 2016

                                             

The figures here clearly show that FII have been selling heavily to the tune of Rs. 18831 Cr in the month of November, the largest 1 month selling for the year 2016.

However, markets are ripe enough to rise as FII has almost reached their higher selling range historically.

Open Interest Index F&O and Cash Segment Activity

In cash segment, last trading day, FII have sold shares worth Rs.1436.40 Cr and DII bought shares worth Rs. 1234 Cr. A combined sell of Rs. 202.61 Cr. For this expiry, FII and DII together are buyers worth Rs. 422.35 Cr.

In Index Options, last trading day, FII have sold 2300 contracts, below its 1 year average of 18280 contracts. Pro have sold 2563 contracts, below its 1 year average of 27670 contracts. Combined there has been a net sell of 4863 contracts, below its 1 year average of 39000 contracts. For the current expiry, FII and Pro combined are net buyers of 34458 contracts.

In Index Futures, last trading day, FII have sold 185 contracts, below its 1 year average of 9706 contracts. Pro have sold 4125 contracts, below its 1 year average of 4903 contracts. Combined there has been a net sell of 4310 contracts below its 1 year average of 9401 contracts. For the current expiry, FII and Pro combined are net sellers of 10696 contracts.

International Market Morning Update: International markets remain in the uptrend since last few weeks. S&P Futures is trading above 2200 and made a recent high of 2211. German Dax, however, has slipped below its range low of 10570 to close at 10551 yesterday.

In today's trading Japan's Nikkei is trading Flat. Other Asian peers like Thailand, Malaysia and Indonesia are trading positive today morning.

Data as on 28th November 2016. The % change is taken from previous day's close.

DISCLAIMER:

Research Team - Tel: 033-30010001, write to us at clientsupport@dynamiclevels.com to give feedback. Website:www.dynamiclevels.com

1. The investment advice or guidance provided by way of recommendations, reports or other ways are solely the personal views of the research team. Users are advised to use the data for the purpose of information and rely on their own judgment while making investment decision 

2. Past performance is not an indicator of future returns.