Derivative Insights - June 8, 2020 - Geojit

Nifty Outlook

Call long additions are going farther out, into 10900, 10600 and 12000, with the most activity seen along 10500. However, the quantum of additions was feeble when compared to puts, which saw hefty short additions to 9900, 9500 and 10100, and drop in OI from 8800. The proportion of FII index future longs are now stable. Negative bets along options are at 50%, helped by a 30% build in call shorts on Friday, while call longs increased to 27%. In all, the construct looks balanced, which rules in favour of strong opening today. However, call short traders are beginning to build from 12000 onwards, and towards this end, big leaps may now have to wait for 10600 to be conquered.

Source : Equity Bulls

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