Your Guide To FII Positions For Dec. 24 Trade

As of December 24th, foreign institutional investors (FIIs) have continued a selling trend in the Indian stock market, with significant activity noted in various segments.

Overview of FII Activity

FIIs sold index futures valued at Rs 644 crore and index options worth Rs 28,448 crore. Conversely, they purchased stock futures amounting to Rs 6,546 crore and stock options worth Rs 4,314 crore.

This marks the sixth consecutive day of selling in the cash market, where foreign investors offloaded stocks worth approximately Rs 168.7 crore on Monday alone. Over the past six sessions, their total sales reached around Rs 15,996.8 crore.

Meanwhile, domestic institutional investors (DIIs) have been on a buying spree, acquiring stocks worth Rs 2,227.7 crore on the same day. In contrast, DIIs have sold shares worth Rs 1,426.7 crore over the last six sessions, showing a continued divergence between foreign and domestic investor activity.

FIIs in Cash Market

In the month of December, FIIs have sold approximately Rs 4,289.9 crore worth of stocks. To provide further context, in November, they offloaded shares totaling Rs 45,974.1 crore, whereas DIIs managed to purchase stocks worth Rs 44,483.9 crore.

The pattern appears to have been consistent, where in October, FIIs sold equities worth Rs 1.14 lakh crore while DIIs bought shares worth Rs 1.07 lakh crore. Notably, throughout 2024, FIIs have collectively been net buyers of Rs 4,896 crore in Indian equities, as per data from the National Securities Depository Ltd. (NSDL).

Spotlight on Futures and Options

Shifting focus to futures and options, ahead of the December 24 expiration, the outstanding positions for FIIs in the Nifty futures have increased. The long-to-short ratio for FIIs in index futures now stands at 30%:70%.

The Nifty futures open interest saw a decrease of Rs 2,894 crore, dropping from Rs 24,804 crore to Rs 21,910 crore as the market moved closer to expiration.

Market Indicators

As of the current trading session on December 24, the Nifty December futures were down by 0.6% to 23,768, showing a premium of 15 points with the open interest having declined by 12.2%.

The open interest for the Nifty 50’s December 26 expiry series indicates the most activity at the 25,000 call strikes, while the 23,500 put strikes reveal the maximum open interest.

Analysis of Long-Short Ratios

The total long-short ratio for foreign investors slightly increased to 1.02 from 1.04 in the previous session. This shift reflects ongoing strategic adjustments by institutional investors in response to market dynamics.

As a final note, the top ten most valued firms in the market gained a cumulative market capitalization increase of Rs 71,000 crore, with Reliance Industries Limited (RIL) leading this surge.

FII, Trading, Equities