Saturday, October 27, 2012

Option Open Interest for 26-10-2012

Inference
The day after Expiry saw Nifty opening flat to negative and selling off to the lows of the day around 5640 but late buying saw the index close at 5664.30 a loss of 41.00 points. On a week on week basis Nifty lost 19.95 points or 0.35%. The OI Table saw huge addition at 5700 and above CE levels and 5700 and below PE levels.
  • Call option 5700-6100 added 28.54 lacs huge amount of OI with small liquidation seen at 5600 and lower strike prices.
  • Put Option 5700-5200 added 45.63 lacs huge amount of OI with small liquidation seen at 5800 and above strike prices.
  • Highest accumulation on Call option 5900 at 37.9 lacs & 6000 at 36.9 lacs whereas Put option 5600 at 40.6 lacs & 5700 at 35.9 lacs.
  • Nifty Open Interest is at 1,79,84,500 down by 72,050 with decrease in price, most probably long liquidation.
  • Bank Nifty Open Interest is at 10,22,000 up by 1,200 with decrease in price, most probably small short build-up.
  • FII’s sold huge 6.47 lacs of Futures, most probably some long liquidation and some short build-up, as net OI also decreased by 2.58 lacs and their average price per contract comes to around 4965.
  • FII’s future open contract as on date is 400910.
  • PCR Open Interest (Volume) at start of series is just above 1.015.
  • The best support still at 5600, with highest OI of 40.6 lacs.
  • Resistance at 5800, got better with huge addition for the day at 6.59 lacs and above that at 5900 with OI of 37.9 lacs.
  • Range as per Option Table is 5623 -5714 and as per VIX is 5622 - 5706 with 5685 as the Pivot.
Option Call for 25-10-2012
Buy Nifty 5700CE above 95 for targets of 107, 122 SL - 89
Buy Nifty 5700PE above 94 for targets of 106, 120 SL - 89

India VIX : 14.21 up by 0.69 points
Call OI : 24486700
Put OI : 27193450
PCR OI : 1.111
SMR : 12.80 (Bearish to Neutral: The day after Expiry saw the index move lower, but the range deadlock has still not been resolved. Next week is news heavy so we may see a breakout or breakdown of the small range of 5630-5720, till then it’s a Option Writers paradise...)

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