April F&O Setup: FII Short Positions Remain Elevated Along With Rollovers As New Series Begins & more related news here

April F&O Setup: FII Short Positions Remain Elevated Along With Rollovers As New Series Begins

 & more related news here


The Nifty 50 index begins the April F&O series on Wednesday, April 1, after reporting its worst series since March 2020. In fact, the 3,093 points the index lost in the last series is the worst drop ever recorded for the index in terms of points.

F&O Series Returns (Points)
March 2026 -3093
February 2026 249
January 2026 -763
December 2025 54
November 2025 -51
October 2025 1,325

Historically, the April series has been strong for the Nifty, with gains seen in four of the last five years.

In fact, after the 26% decline that the Nifty experienced during the onset month of Covid-19 in March 2020, the index had seen a 14% rally in April.

April series year Returns (Points) Profitability (%)
2021 570 4
2022 -220 -1.3
2023 834 4.9
2024 243 1.1
2025 655 2.8

Nifty reinvestments have been higher this time, ahead of the April series. At 77.7%, the figure is the highest so far this year and higher than the three-month average of 70.4%.

Series Rollovers (%)
April 77.7
March 68.2
February 70.7
January 72.3

The Nifty Open Interest at the start of the series is also the highest in 2026 so far, surpassing 2 crore shares.

Month Nifty open interest
April 2.09 crores
March 1.34 crore
February 1.62 crores
January 1.4 crores

FIIs remain net short in index futures ahead of the new series. However, the number of net long positions is higher than that of the last three months, although it remains at average levels.

Month FII Longs in futures
April 15%
March 14%
February 12%
January 9%

Although history is in favor of the bulls entering the April series, the biggest trigger for any form of reversal from near 52-week lows will be a de-escalation in the US-Iran war and a subsequent drop in oil and other commodity prices.

The Reserve Bank of India’s next policy statement will come on April 8, the first after the start of the war in West Asia. Commentary on the currency from the central bank will also be key, after it fell to record lows on Monday.

Foreign investors continue to sell at record levels in Indian markets and their flows will also be key to market sentiment this month.

Had it not been for the war, the biggest trigger for markets would have been the start of the fourth quarter earnings season and updates from companies about the road ahead. That will start today with March auto sales reports and other companies releasing trading updates for the quarter.



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