04 Sep 2024

MO Briefing

04 Sep 2024 · NSE Derivatives Structure

coherentstressedexpansioncontraction

Posture

Early Contraction

1 session

First session of contractionary alignment. Persistence not yet confirmed.

How to read this

The compass maps the structural posture of the derivatives market. The horizontal axis shows expansion vs contraction. The vertical axis shows coherence vs stress.

The dot marks today's position. The trail shows the past 7 sessions. The posture label describes what the structure is — not where it's going.

Depth panels below show the underlying measurements: positioning breadth, basis stress, range compression, and structural activity.

Depth

Positioning — 554 instruments

30%
45%
11%
Long Buildup 168Short Buildup 247Long Unwind 48Short Cover 59Neutral 32

Structural lean: -0.123(227 expansionary, 295 contractionary)

Basis Stress

Flip stress

0.48x

below baseline

Divergence

0.92x

below baseline

Basis flip stress below baseline (0.48x). Instrument divergence below baseline (0.92x)

Range Compression

Futures

1.34x

elevated · 2 contracts

Equities

0.84x

below baseline · 1859 contracts

Expanded ranges (1.34x baseline)

Recent Path

Expansion Under Stress27
Contraction Under Stress28
Fragmented Expansion29
Fragmented Expansion30
Fragmented Contraction02
Fragmented Expansion03
Early Contraction04

Structural Activity

Active
posture changed|flip stress normal|divergence normal

Transitioned from Fragmented Expansion

Next MO Briefing: Monday 08:30 IST

MarketObservatory describes the structural condition of the market. It does not predict price direction.