Saturday, June 8, 2013

Option Open Interest for 07-06-2013

Inference
Nifty opened weak but saw the buyers take charge to move the index from the lows of 5890 to the highs of 5970. The Sellers were waiting for this opportunity and sold huge to break the lows and close at 5881, a huge loss of 40.40 (actually a 100 pointer from the top). On a week on week basis the index lost 104.95 points or approx 1.75% and in the process saw a first weekly close in 6 weeks. The broader market was also weak, with 533 advances to 754 declines. Option Table is getting highly tilted in favour of the Bears.
  • Call option 5800-6200 added 23.88 lacs huge amount of OI with small short covering seen at 5700 and below strike price.
  • Put option 5800-5500 and 6000-6100 added 18.65 lacs huge amount of OI with short covering seen at 6200 and above strike prices.
  • Highest accumulation on Call option 6100 at 64.57 lacs & 6200 at 63.65 lacs whereas Put option 5900 at 66.53 lacs & 5800 at 61.02 lacs.
  • Nifty Open Interest is at 1,23,27,650 down by 1,22,600, with decrease in price, most probably huge long liquidation.
  • Bank Nifty Open Interest is at 10,68,050, down by 53,150, with decrease in price, most probably huge long liquidation.
  • FII’s sold huge 8.57 lacs of Futures (Approx 94 lacs futures sold in the last 6 days), most probably short build-up, as their net OI increased by 1274 contracts and the average price per contract comes to around 5923.
  • FII’s future open contract as on date is 231898.
  • PCR Open Interest (Volume) is down again and now at 1.048.
  • Support now at 5800, with OI above 61.02 lacs and below that at 5700 with OI of 53.30 lacs.
  • Resistance at 6000, with OI of 56.17 lacs and above that at 6100 with highest OI of 64.56 lacs.
  • Range as per Option Table is 5842 - 5961 and as per VIX is 5828 - 5934 with 5920 as the Pivot.
Option Call for 10-06-2013
Buy Nifty 5900CE above 105 for targets of 121, 145 SL - 99
Buy Nifty 5900PE above 95 for targets of 111, 126 SL - 84

India VIX : 17.35 No change
Call OI : 38449900
Put OI : 40283000
PCR OI : 1.048
SMR : 16.56 (BEARISH: Option Table invincibility at 5900 has been breached and a follow-up action by the Bears will make it sure that the Bulls sit out this series or they may just return with a bang...)