Foreign Institutional Investors (FIIs) have significantly increased their short positions in Nifty futures, as indicated by the latest data from the National Stock Exchange (NSE). On Tuesday, the Nifty index experienced a sharp recovery, bouncing back from an intra-day low of 23,229 to a high of 23,557, ultimately closing at 23,484. Despite this recovery, FIIs have been net sellers in Nifty futures for five consecutive days, with total net sales reaching 83,828 Lots. This marks a notable increase in short positions, with FIIs' open interest in Nifty rising by over 40% in the early sessions of the June series. The long-short ratio for FIIs has dipped to 0.10, indicating that they hold around 90% of their positions on the short side. In contrast, domestic institutional investors and retail investors maintain higher long-short ratios, suggesting a differing market sentiment. Analysts predict a cautious outlook for the Nifty, with immediate resistance levels noted around 23,740–23,860.