Tuesday, August 21, 2012

Option Open Interest for 21-08-2012

Inference
Nifty opened above the dotted line and tried to move beyond 5400 but failed to do so in the morning session. A spurt around the last hour of trade saw Nifty conquer 5400 and closed comfortably above it at 5421.00, a huge gain of 54.70 points and in the process broke out of the 5400 top after around 5 months. Based on the OI Table, it looks totally tilted towards the Bulls with 5300 most probably not to be seen on closing basis this expiry.
  • Call option 5500 added 4.91 lacs huge amount of OI, with huge liquidation seen at 5300 and lower strike prices.
  • Put Option 5600-5200 added 54.9 lacs huge-huge amount of OI, with profit booking seen at 5100 and lower strike prices.
  • Highest accumulation on Call option 5500 at 98.6 lacs & 5400 at 65.9 lacs whereas Put option 5300 at 1.07 Cr & 5100 at 1.02 Cr.
  • Nifty Open Interest is at 2,63,87,250 up by 7,78,150 with increase in price, probably long build-up.
  • Bank Nifty Open Interest is at 17,93,400 down by 43,000 with increase in price, most probably huge short covering.
  • FII’s bought huge 6.48 lacs of Futures, most probably long build-up, as their OI also increased by 6.09 lacs, and their average price per contract comes to around 5184.
  • FII’s future open contract as on date is 6.69 lacs.
  • PCR Open Interest (Volume) has jumped to 1.773 due to huge addition at 5300-5500PE.
  • Initial support at 5400 with huge addition for the day of 25.6 lacs and unbreakable support at 5300 with OI above 1.07 Cr.
  • Only viable resistance right now is at 5500 with OI of just 98.6 lac.
  • Range as per Option Table is 5353 -5462 and as per VIX is 5375 - 5467 with 5400 as the Pivot.
Option Call for 22-08-2012
Buy Nifty 5400CE above 67 for targets of 78, 89 SL - 58
Buy Nifty 5400PE above 36 for targets of 47, 67 SL - 33

India VIX : 16.30 up by 0.57 points
Call OI : 33905950
Put OI : 60112150
PCR OI : 1.773
SMR : 9.19 (Bullish: Huge Bullish addition at 5200-5600PE Levels, and looking at the addition, 5500 is just round the corner...)