Futures at a discount
The front-month future trading at least 0.2% under cash. Hedging pressure, or supply the market expects.
A future below cash means someone is willing to sell forward cheaper than today's price. Usually that is holders hedging a position they cannot or will not sell, and sometimes it is the market pricing in expected supply. Persistent discounts cluster in stocks under distribution. One caveat: the reading resets near expiry, when the basis converges to zero by construction, so treat expiry-week prints with suspicion.
More derivatives:Long buildupShort buildupShort covering rallyLong unwindingOpen interest at a 3-month high
Price and delivery data from the eod2 dataset: National Stock Exchange of India end-of-day files, split- and bonus-adjusted, updated after each close. Not affiliated with or endorsed by NSE. PatternsRadar is a research tool. Nothing here is investment advice or a recommendation to buy or sell anything.