Wednesday, August 29, 2012

Option Open Interest for 29-08-2012

Inference
Nifty had a trend day with open at the highs around 5345 and close near the lows of the day at 5287.80 a huge loss of 46.80 points. The day was dominated by the CE writers with huge addition at 5300 and 5400 levels, whereas the PE writers liquidated en-mass. Tomorrow is expiry and looking at the OI table, the probable expiry will center around 5300 level.
  • Call option 5300-5400 added 29.94 lacs huge amount of OI, with profit booking at 5500 and higher strike prices.
  • Put Option 5200-5500 saw huge liquidation with no addition at any level.
  • Highest accumulation on Call option 5400 at 1 Crore & 5500 at 88.4 lacs whereas Put option 5000 at 94.4 lacs & 5200 at 87.8 lacs.
  • Nifty Open Interest is at 1,61,65,400 down by 41,00,750 whereas Sep series added 36.83 lacs OI with decrease in price, 90% were rolled over with some long liquidation.
  • Bank Nifty Open Interest is at 10,70,525 down by 3,05,400 whereas Sep series added 2.67 lacs OI with decrease in price, 87% rolled over with some long liquidation.
  • FII’s sold huge 1.02 lacs Futures, most probably long long liquidation, as their OI also decreased by 9.68 lacs, and their average price per contract comes to around 5074.
  • FII’s future open contract as on date is 7.56 lacs.
  • PCR Open Interest (Volume) is going down very fast and now at 1.449 due to huge liquidation seen at 5200-5500PE.
  • Support at 5200 with highest OI on PE of 87.8 lacs.
  • Initial resistance at 5300 with huge addition of 14.7 lacs at 5300CE and above that at 5400 with highest OI in Option Table at 1 Crore.
  • Range as per Option Table is 5257 -5348 and as per VIX is 5241 - 5334 with 5320 as the Pivot.
Option Call for 30-08-2012
Buy Nifty 5300CE above 28.5 for targets of 43, 71 SL - 25
Buy Nifty 5300PE above 19 for targets of 25, 35 SL - 15

India VIX : 16.74 up by 0.39 points
Call OI : 32780000
Put OI : 47487450
PCR OI : 1.449
SMR : 11.56 (Bearish to Neutral: Bears in full control just a day before expiry, but the 5300CE writers maybe in a spot of bother if open is positive...)