Anand Rathi - Daily Strategist - Mar 13

The NIFTY futures saw a decrease in OI 2.95% with prices closing at 3727.20 indicating that lot of shorts covered their positions as market saw recovery and nifty future sustained. above 3700 levels .The discount in nifty futures turned into premium indicating that bears covered their positions aggressively. .Looking at this the bulls took advantage on their positions and getting the bears in a trap and they were covering their positions as market moved up .We feel that till the market sustains above 3700 levels we may see aggressive short covering and fresh money coming in the market.

.The FIIs were buyers in futures to the tune of 864.54 crs .The PCR is in a range of 0.95 indicating narrow trend in the market. .The volatility has remained in the range of 30 levels indicating uncertainty at higher levels.

Among the Big guns, ONGC saw marginal drop in OI with prices coming up indicating that bears covered their positions and old bulls liquidated their positions and fresh money coming in the counter indicating buying happening in the counter .. RELIANCE saw gain of OI to the tune of 0.93 % with prices coming down marginally indicating that fresh selling coming in the counter as market came down from high of yesterday.

On the TECH front, TCS, , SATYAMCOMP, WIPRO saw drop of OI with rise in prices indicating lot of short covering seen in these counters and fresh buying coming in IT pack indicating strength in these counters .INFOSYSTCH saw rise in OI to the tune of 1.01% with prices flat to negative indicating that both bulls and bears were aggressive in this counter

BANKING counters saw a mixed bag with some loosing open interest the others gaining it. Also we saw some prices moving up while others saw loosing value This only makes us realize that un-certainty prevails in the sector.

In the METALS like the banking sectors across the board buying coupled with short covering took place in some and selling with profit booking happened in the others.
Considering the market data, it suggests the most awaited trend should finally peculate and we could see a clear emergence of view happening next couple of days , for the same it is advisable to traders to have strict stop losses.

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