Wednesday, April 3, 2013

Option Open Interest for 03-04-2013

Inference
Nifty opened flat to negative and remained range bound staying just below the previous day’s close, but saw huge sell-off in the second half with index nose-diving below the 5700 level to touch the lows of 5650 and close just above at 5672.90, a huge loss of 75.20 points. The broader market was also weak, with 646 advances to 863 declines. Bulls messed up what they did in 3 days in a single session to give Bears the edge for the time being.
  • Call option 5600-6100 added 37.48 lacs huge amount of OI with small short covering seen at 5500 and below strike prices.
  • Put option 5600-5500 added 6.84 lacs huge amount of OI with small short covering seen at 5700 and above strike prices.
  • Highest accumulation on Call option 5900 at 57.26 lacs & 5800 at 56.16 lacs whereas Put option 5600 at 83.87 lacs & 5700 at 53.61 lacs.
  • Nifty Open Interest is at 1,44,88,100 up by 12,82,650, with decrease in price, most probably huge short build-up.
  • Bank Nifty Open Interest is at 12,71,375, up by 46,600, with decrease in price, most probably huge short build-up.
  • FII’s sold HUGE 12.58 lacs of Futures, most probably short build-up, as their net OI increased by 38697 contracts and the average price per contract comes to around 5690.
  • FII’s future open contract as on date is 318812.
  • PCR Open Interest (Volume) has gone down to 1.052.
  • Best support still at 5600, with OI above 83.87 lacs and below that at 5500.
  • Resistance right now at 5700 with huge addition of 5.4 lacs and above that at 5800 with OI above 56.16 lacs.
  • Range as per Option Table is 5634 - 5737 and as per VIX is 5629 - 5717 with 5690 as the Pivot.
Option Call for 04-04-2013
Buy Nifty 5600CE above 144 for targets of 159, 184 SL - 138
Buy Nifty 5700PE above 84 for targets of 102, 122 SL - 76

India VIX :14.87 up by 0.77 points
Call OI : 31702700
Put OI : 33339350
PCR OI : 1.052
SMR : 14.14 (Bearish: The Bears came back strongly after the hammering received yesterday to tilt the Option Table to their favour, but 5600PE writers are still holding on and a follow up action by the Bears may make a dent at 5600 level...)