Saturday, December 29, 2012

Option Open Interest for 28-12-2012

Inference
Nifty opened positive just above 5900, but turned weak to touch the lows of 5880. The responsive buyers took control from the lows to end the day at the peak of 5908.35, a solid gain of 38.25 points. On a week-on-week basis the index gained 60.65 points or about 1.04%. The broader market was also positive, with 786 advances to 706 declines. The OI Table saw the PE writers in control of the proceedings with huge addition of 79.5 lacs and base building around 5800 level.
  • Call option 5900-6400 added 26.25 lacs huge amount of OI with some short covering seen at 5800 level.
  • Put Option 6000-5400 added 66.51 lacs huge amount of OI.
  • Highest accumulation on Call option 6000 at 50.3 lacs & 6100 at 37.5 lacs whereas Put option 5800 at 47.8 lacs & 5700 at 44.3 lacs.
  • Nifty Open Interest is at 1,63,32,100 down by 1,33,450, with increase in price, most probably short covering.
  • Bank Nifty Open Interest is at 10,14,100 up by 11,950, with small decrease in price, most probably short build-up.
  • FII’s bought huge 3.75 lacs of Futures, most probably short covering, as their net OI decreased by 1804 contract and the average price per contract comes to around 5969.
  • FII’s future open contract as on date is 263482.
  • PCR Open Interest (Volume) has inched up to 1.259.
  • Initial support now up at 5900PE with OI above 37 lacs and below that at 5800 with OI of 47.8 lacs.
  • Best Resistance at 6000CE, with OI above 50.3 lacs, and above that at 6100 with OI of 37.5 lacs.
  • Range as per Option Table is 5861 -5948 and as per VIX is 5866 - 5951 with 5905 as the Pivot.
Option Call for 31-12-2012
Buy Nifty 6000CE above 70 for targets of 75, 85 SL - 65
Buy Nifty 5900PE above 71 for targets of 76, 84 SL - 67

India VIX : 13.63 down by 0.11
Call OI : 24487200
Put OI : 30832000
PCR OI : 1.259
SMR : 10.83 (Bullish to Neutral: Another day when Bears missed the follow-up action and let the Bulls back into the game, only a follow-up action can seal it for them, else another round of ping pong match...)