Wednesday, December 19, 2012

Option Open Interest for 19-12-2012

Inference
Nifty saw a perfect consolidation day after the huge volatility that was seen yesterday. The index opened positive and remained range bound within a narrow range of 30 points to close the day with a good gain of 32.80 points at 5929.60. The broader market also was in good shape, with 869 advances to 645 declines. The OI Table saw huge liquidation at 5800-6000CE levels.
  • Call option 6100-6200 added 6.84 lacs huge amount of OI with huge short covering seen at 5900 and below strike prices.
  • Put Option 6000, 5700-5600 added 9.78 lacs huge amount of OI with huge profit booking seen at 5800 and lower strike prices.
  • Highest accumulation on Call option 6000 at 1.13 crore & 6100 at 91.5 lacs whereas Put option 5800 at 95.0 lacs & 5700 at 72.4 lacs.
  • Nifty Open Interest is at 2,14,07,450 down by 2,64,700, with increase in price, most probably long liquidation.
  • Bank Nifty Open Interest is at 11,70,725 down by huge 59,700, with small increase in price, most probably long liquidation.
  • FII’s sold huge 2.79 lacs of Futures, most probably short build-up as their OI also increased by 5562 contracts, and the average price per contract comes to around 5879.
  • FII’s future open contract as on date is 439343.
  • PCR Open Interest (Volume) is moving up fast and now at 1.285, due.
  • Initial support now moving up at 5900PE with OI of 66.9 lacs and below that at 5800 with highest OI of 95 lacs.
  • Huge resistance still very much at 6000CE, though small liquidation was seen, with OI above 1.13 crore, and above that at 6100 with OI of 91.5 lacs.
  • Range as per Option Table is 5883 -5970 and as per VIX is 5885 - 5975 with 5920 as the Pivot.
Option Call for 20-12-2012
Buy Nifty 5900CE above 74 for targets of 81, 91 SL - 70
Buy Nifty 6000PE above 73 for targets of 84, 95 SL - 69

India VIX : 14.47 up by 0.03
Call OI : 43742950
Put OI : 56211650
PCR OI : 1.285
SMR : 11.26 (Bullish: After a 100 point move of yesterday, the Bulls made sure that the psychological level 5900 is captured and held on till the end of day, now the Bears need to do all the hard work...)