Your Guide To FII Positions For Oct 25 Trade

On October 25, foreign institutional investors (FIIs) made significant movements in the Indian equities market. They sold index options worth Rs 20,427 crore but increased their long positions in Nifty futures by 10,715 contracts as the October expiry approached.

FII Activity Overview

The trading activity on October 25 showed that FIIs were net sellers in index options and cash markets. However, they were also active buyers of stock options, stock futures, and index futures during the session.

FIIs In Cash Market

In the cash market, FIIs were net sellers for the 19th consecutive day, while domestic institutional investors continued to buy, marking their 23rd straight buying session. Provisional data from the National Stock Exchange indicated that FIIs sold stocks valued at Rs 5,062.5 crore, whereas domestic investors bought stocks worth Rs 3,620.5 crore. Over the last five sessions, FIIs have offloaded equities worth Rs 22,473.2 crore, while DIIs have accumulated shares worth Rs 23,970.2 crore.

FIIs In Futures And Options

With the expiry date of October 31 approaching, the outstanding positions in the Nifty Futures for FIIs increased. They raised their long positions in Nifty Futures while their short positions decreased, maintaining a long-to-short ratio of 35% to 65% in index futures. Additionally, they bought stock futures worth Rs 2,748 crore, index futures for Rs 1,672 crore, and stock options worth Rs 881 crore.

F&O Cues

The Nifty October futures showed a slight decline of 0.04% to close at 24,452, with open interest decreasing by 0.7%. In contrast, the Nifty Bank October futures rose by 0.66% to 51,605, even as open interest fell by 8.7%. Analyses of the open interest distribution for the Nifty 50 series indicated peak activity at the 25,000 call strikes, with maximum open interest recorded at the 24,500 put strikes. For the Bank Nifty options set to expire on October 30, the maximum call open interest was found at 52,500, while the maximum put open interest was at 51,000.

FII Contract Value

There was a reduction in the total value of Nifty 50 Futures open interest, decreasing by Rs 252 crore from Rs 31,564 crore to Rs 31,312 crore. Similarly, the total value of Nifty Bank Futures open interest fell by Rs 1,030 crore, dropping from Rs 12,455 crore to Rs 11,425 crore.

Long-Short Ratio

Finally, the total long-short ratio for FIIs decreased to 1.21 from 1.24 in the previous session, indicating a slight shift in their trading strategy.

FII, Trading, Market