Nifty 4700 put options have added long positions, open interest data suggests. Also Nifty future has a resistance level of 4700, so whenever we see nifty future near 4700 traders are advised to enter short positions on nifty or just buy nifty 4700 put options in small quantities, as options are used to limit the amount of risk to premium paid. We are of the view that many of the front line stocks are ready for correction as they are trading very near to resistance zone. Either you short stocks like Reliance, State bank of India, Icici bank, Tata steel, Tata motors or buy some 4700 nifty put options. 4700 Level on charts is 38.2% Fibonacci Retracement level, so nifty is more likely to face stiff resistance and attract some short selling. If we look at global fundamentals we see situation in Europe is getting worst, 9 European economies were downgraded by S&P. Yields of bonds were going higher for Italy and France, so we can say worst is still yet to come and markets are no way forming bottoms. So it would be better to take this bounce as selling opportunity or buy index put options on Nifty.