NIFTY and BANKNIFTY formed dragonfly dojis on the daily charts — classic signals of indecision after a downtrend.
Weekly charts also ended with doji candles. On the monthly timeframe, NIFTY looks neutral, while BANKNIFTY shows signs of a hanging man or a hammer. Interpretation will depend on June’s first few sessions.
🔗 Option Chain:
Too early post-expiry, but 24,800–25,000 on BANKNIFTY showing signs of fresh resistance building up.
Not much clarity yet on strong support zones, but this range deserves watching as OI builds.
⚖️ PCR (Put/Call Ratio):
Still stabilizing post-expiry. No major takeaways yet.
Will be more relevant once OI reloads for June series.
🧠 Participant Option Data:
FIIs: Long ~65K Calls vs ~125K Puts → Bearish skew.
Clients: Heavily short both Calls and Puts — more neutral or volatility play.
Pros: Aggressive put buying observed.
Overall: FIIs and Pros are defensive. Clients are taking the other side. This leans bearish.
🔥 Participant Futures Data:
FIIs remain net short in index futures. No major OI change, but expiry-day noise makes it hard to read clearly.
Clients are net long — could be hoping for a bounce.
FII futures bias is still not showing reversal signs.
💰 Participant Stock Data:
FIIs bought ₹800 Cr in cash, but expiry-day data can be misleading (likely arbitrage or delivery-based flows).
Sentiment leans cautiously risk-off despite this.
✅ Verdict:
Candlesticks are shouting indecision, but derivatives data quietly leans bearish.
Unless fresh bullish cues emerge early next week, the safer stance looks like defensive bearishness.
💡 Trades (Not a Recommendation):
Bear Call Spreads on June expiry could offer risk-defined reward if market drifts or stays weak.
Avoid naked bets — volatility compression could trap both sides.
