Foreign institutional investors (FIIs) long-short ratio in index futures stands at 0.45, meaning 1 long bet for every 2 short positions. The ratio is at the highest point since July 2025.
According to the NSE F&O data, FIIs net bought 28,587 contracts of Nifty futures on Tuesday, lowering open interest by 13.3% to 1.87 lakh contracts. Analysts flag short covering.
The pace at which FIIs have added short bets in index futures accelerated in the last three trading sessions, says Dharmesh Bhatt, Head-Derivatives Research at Systematix Institutional Research.
According to the NSE F&O data, FIIs have net sold index futures worth ₹10,397 crore thus far in the September series; Nifty OI now at 2-month high. Tech analysts flag key support levels on Nifty.
The Nifty August expiry delivered the most constructive positioning setup in four months, with improving rollover, rising carry and broader sectoral leadership, says Systematix in its F&O report.
Amid the ₹14,261.41 crore sell-off, Sudeep Shah of SBI Securities believes that FIIs build-up short positions in index futures over the last three sessions, indicating increasing bearish bets.
The Nifty Put-Call-Ratio (PCR) stands near 0.71, indicating a cautious-to-negative undertone in the market, says Dhupesh Dhameja, Derivatives Research Analyst at SAMCO Securities.
The Nifty rollovers to May were below average, suggesting a likely cautious stance among participants and slight hesitation to carry forward aggressive bets, says Axis Securities.
The futures & options market positioning reflects heavy short build-up, creating conditions for sharp but temporary short-covering rallies, says Systematix Institutional Equities.
According to data, FIIs net sold shares worth ₹19,584.70 crore in the cash market, and index futures worth ₹10,100.74 crore in the F&O segment in the last three trading sessions.
F&O stocks Indian Bank, SAIL, Uno Minda, TCS, KEI Industries, Wipro, Patanjali Foods, Oil India, RVNL and Naukri have witnessed high rollovers, states the Axis Securities report.
Despite Monday's sharp recovery, FIIs were net sellers of ₹1,228 crore in index futures yesterday. Here are the key highlights from the derivatives data.
Swiggy, Waaree Energies, Bajaj Holdings and Premier Energies to enter F&O space with effect from today, December 31, 2025. Nifty Lot Size to be lowered to 65 units.
The derivatives data reflects at a cautious and guarded market stance, with Call writers at slight advantage, explains Dhupesh Dhameja, Derivatives Research Analyst, SAMCO Securities.
The NSE F&O data shows that FIIs open interest in index futures has declined by over 14 per cent from its peak; amid net purchases of contracts worth ₹7,737.41 crore in the last 8 trading sessions.
