1️⃣ FII Activity & Positioning
FIIs have sold ₹900+ Cr in the cash market, indicating some profit booking at higher levels.
In the F&O segment, they have:
Reduced a portion of net index shorts
Added some net index calls
Significantly reduced net index puts
Overall positioning suggests the sentiment is currently neutral, rather than aggressively bearish.
2️⃣ Global Market Cues
Global markets remain neutral to slightly negative. There is visible uneasiness among participants regarding the long-term disruption that Artificial General Intelligence (AGI) could bring across industries.
Additionally, the recent negative closing in US markets may influence short-term sentiment.
3️⃣ Technical & Data Perspective
On charts, the market structure still looks strong, especially Bank Nifty, which has closed above the crucial 60,900 level, indicating relative strength.
However, due to weak US cues, a gap-down opening cannot be ruled out. The key will be whether the market absorbs the selling pressure after the open.
From a data standpoint:
PCR at 1.11 indicates a neutral-to-positive bias
FII long-short ratio at 25 suggests positioning is not overly aggressive and leaves room for directional expansion
Overall tone: Neutral to slightly positive, unless supports break decisively.
4️⃣ Key Levels to Watch
Nifty
Support: 25,550
Resistance: 25,900
Bank Nifty
Support: 60,400
Resistance: 61,300
Holding above support zones may keep momentum intact, while breakdowns could invite short-term weakness.
5️⃣ Our Stance
Stay selective and disciplined.
Focus on quality stocks showing strength and strong earnings visibility.
Trade with a strict stop-loss and avoid emotional decisions around gap openings.