Thursday, July 12, 2012

Option Open Interest for 12-07-2012

Inference
Nifty opened weak on the back of bad global cues and sub-par first quarter result from Infosys. The index remained weak and was unable to make any positive move and closed the day at the lowest level at 5235.25 a huge loss of 71.05 points. The OI Table saw a complete makeover with the CE writers taking charge and PE writers covering from 5100 and above levels. Only positive point for the Bulls were that Nifty OI did not change much, so at least not much of shorts were added to the system.
  • Call option 5100-5500 added 27.9 lacs huge amount of OI, with huge profit booking seen at 5600 and above levels.
  • Put Option 5000-4900 added 10 lacs huge amount of OI, with huge liquidation seen at 5100 and above levels.
  • Highest accumulation on Call option 5400 at 83.9 lacs & 5300 at 69.5 lacs whereas Put option 5000 at 85.1 lacs & 5100 at 68.3 lacs.
  • Nifty Open Interest is at 2,32,67,600 up by 13,000 with decrease in price, most probably short build-up.
  • Bank Nifty Open Interest is at 27,83,175 down by 1,26,350 with decrease in price, most probably huge long liquidation.
  • FII’s sold 8.75 lacs Futures, most probably short build-up, as their OI also increased by 7.96 lacs, and their average price per contract comes to around 5072.
  • FII’s future open contract as on date is 5.77 lacs.
  • PCR Open Interest (Volume) dropped to 1.375, lowest of the series.
  • Support is at 5200, though some weak Bulls covered but OI still above 66 lacs, below that at 5100, having OI above 68 lacs.
  • Resistance is at 5300, with huge addition of 10.4 lacs for the day and above that at 5400 with highest OI of 83.9 lacs.
  • Range as per Option Table is 5187 -5288 and as per VIX is 5184 - 5287 with 5260 as the Pivot.
Option Call for 13-07-2012
Buy Nifty 5300CE above 49 for targets of 60, 76 SL - 45
Buy Nifty 5200PE above 46 for targets of 57, 68 SL - 42

India VIX : 18.71 up by 0.32 points
Call OI : 37221200
Put OI : 51172850
PCR OI : 1.375
SMR : 13.61 (Neutral: The Move came, with the Bears wresting control from the Bulls, but a follow up action is needed...)