FII Long Short Ratio Today – Index Futures Position Data

FII Long-Short Ratio: Calculation and Interpretation

The FII long-short ratio measures how Foreign Institutional Investors are positioned in index futures: the number of long contracts divided by short contracts. A ratio above 1 means more longs than shorts; below 1 means net short positioning. It is one of the most-watched sentiment gauges in Indian derivatives — and one of the most misread.

How the Ratio Is Calculated

Ratio = FII index futures long open interest ÷ FII index futures short open interest, using participant-wise open interest data published by NSE after each session. A ratio of 0.5 means FIIs hold two short contracts for every long; 2.0 means two longs for every short. The ratio covers index futures only — stock futures and options are tracked separately.

Reading the Levels

• Above 1.5: strongly long positioning — historically common in sustained uptrends
• 0.8–1.5: neutral zone — no strong directional signal
• Below 0.5: heavily short — often near sentiment extremes
• Day-over-day change matters more than the absolute level
• Extreme readings (below 0.3 or above 3) have historically often preceded reversals rather than continuations

How to Use This Page

1. Check today's ratio and its change versus yesterday.
2. Compare with the ratio's own recent range rather than fixed thresholds.
3. Cross-check FII cash flows: shorts with cash buying suggest hedging, not bearishness.
4. Watch expiry week — positions roll over and the ratio swings without any sentiment change.

False Signals and Limitations

• Hedging distorts the signal: FIIs short index futures to protect large cash portfolios, so a low ratio can coexist with net cash buying.
• Expiry-week rollovers move the ratio mechanically — avoid reading sentiment into expiry swings.
• The ratio says nothing about position size per contract or which indices dominate.
• Extreme readings are contrarian as often as they are confirming — never trade the ratio in isolation.

Follow the daily FII long-short ratio alongside FII cash activity and participant-wise OI to separate genuine positioning from hedging noise.