Thursday, January 24, 2013

Option Open Interest for 24-01-2013

Inference
Nifty opened flat to negative, and was sold off immediately to the lows of the day around 6010. Some buying was seen around that level, but it was not enough and the index closed near the lows of the day at 6019.35, a loss of 34.95 points. The broader market was weaker, with just 270 advances to 1264 declines. The OI Table saw huge un-winding at 5900-6100PE levels.
  • Call option 5900-6200 added 30.71 lacs huge amount of OI with small profit booking seen at 6300 and above strike prices.
  • Put Option 5800 added 10.37 lacs huge amount of OI with huge short covering seen at 6000 and above strike prices.
  • Highest accumulation on Call option 6200 at 97.1 lacs & 6100 at 84.1 lacs whereas Put option 5800 at 84.6 lacs & 5900 at 78.0 lacs.
  • Nifty Open Interest is at 1,22,92,500 down by 9,31,250, whereas Feb series added 4.11 lacs with decrease in price, most probably small rollover with huge long liquidation.
  • Bank Nifty Open Interest is at 9,57,700, up by 1,150, whereas Feb series added 23,575 with decrease in price, most probably short build-up.
  • PCR Open Interest (Volume) has come down with huge liquidation at most PE levels and now at 1.249.
  • Support at 6000PE looks very weak due to huge liquidation of 15.2 lacs for the day and below that at 5900 with OI above 78 lacs.
  • Resistance just got bigger at 6100CE, with huge addition of 13.7 lacs for the day, and above that at 6200 with highest OI of 97.1 lacs.
  • Range as per Option Table is 5986 - 6068 and as per VIX is 5974 - 6065 with 6035 as the Pivot.
Option Call for 25-01-2013
Buy Nifty 6000CE above 61 for targets of 75, 97 SL - 58
Buy Nifty 6000PE above 35 for targets of 44, 53 SL - 30

India VIX : 14.46 up by 0.79 points
Call OI : 34454700
Put OI : 43050050
PCR OI : 1.249
SMR : 11.57 (Bearish to Neutral: Bears are Back, and have pushed the Bulls one notch down towards 6000. Bulls need to come back strong or else Expiry will be in control of the Bears...)