*Derivative Lens: 15th May 2023* Indian equity market indices | DK Technical Analysis by Dhananjay Kadam

*Derivative Lens: 15th May 2023*

Indian equity market indices closed mixed on Friday. Nifty Futures closed negative by 0.11% at 18,333 with long unwinding and Bank Nifty Futures closed positive by 0.68% at 43,757 with short covering. In Cash segment FII’s bought of Rs. 1014 Crs, whereas DII’s sold of Rs. 922 Crs that takes the net inflow of just Rs. 92 Crs. Broader buying was seen in AUTO, Banking and Financial services stocks, while Metal, Media and Oil & Gas closed with negative bias.

*Index Net Long/short Position*

A major movement was seen in Index net long short position by market participants that kept the market volatile. Client added fresh long, DII’s and Pro stood Neutral, while FII’s added fresh short marginally. From last 5 trading session participants OI in Index long/short stood in the range of -0.15 to 0.15 lakh contract that kept the Nifty Futures in range bound, a sudden move or aggressive position build up on either side will decide the further direction for the Nifty Futures.

*Index Update*

Max OI on Call stood at 18,300 and Max OI on Put stood at 18,200 strike price. Max OI addition on call stood at 18,800 and on Put stood at 18,200 levels. Max Pain is at 18,300 from 2 days. PCR stands at 1.08 with rise in Put writer that saw the positive movement.

Nifty Futures has to break its trading range to give further move. Going ahead, it may trade higher with support of 18,300, followed by 18,200. While on higher side it may face resistance at 18,400 followed by 18,500 levels. We suggest market participants to hold long position by keeping strict stoploss at support levels.