Tuesday, July 2, 2013

Option Open Interest for 02-07-2013

Inference
Nifty opened flat to negative, and after a flourish towards the highs of the day around 5900 drifted down and closed around the lows of the day at 5857.55, a huge loss of 41.30 points. The broader market was negative, with 603 advances to 691 declines. Option Table range in the first week of new settlement developing around 5600-6000 level.
  • Call option 5800-6200 added 16.16 lacs huge amount of OI with short covering seen at 5700 and lower strike prices.
  • Put option 6000-5400 added 8.41 lacs huge amount of OI with small short covering seen at 6100 and above strike prices.
  • Highest accumulation on Call option 6000 at 61.98 lacs & 5900 at 42.37 lacs whereas Put option 5600 at 66.03 lacs & 5800 at 53.32 lacs.
  • Nifty Open Interest is at 1,50,91,000 down by 1,61,950, with decrease in price, most probably long liquidation.
  • Bank Nifty Open Interest is at 12,06,225, up by 49,400, with decrease in price, most probably huge short build-up.
  • FII’s sold huge 2.63 lacs Futures, most probably short build-up, as their net OI increased by 4685 contracts and the average price per contract comes to around 5855.25.
  • FII’s future open contract as on date is 355299.
  • PCR Open Interest (Volume) has dropped again and now at 1.270.
  • Very good support right now at 5800, with OI of 53.32 lacs and below that at 5700 with huge OI of 49.81 lacs.
  • Initial resistance at 5900, with OI of just 42.37 lacs and above that at 6000 with huge OI of 61.98 lacs.
  • Range as per Option Table is 5800 - 5933 and as per VIX is 5802 - 5913 with 5870 as the Pivot.
Option Call for 03-07-2013
Buy Nifty 5900CE above 84 for targets of 92, 103 SL - 79
Buy Nifty 5800PE above 77 for targets of 83, 92 SL - 73

India VIX : 18.21 up by 0.12 points
Call OI : 29466650
Put OI : 37428450
PCR OI : 1.270
SMR : 14.34 (Bullish: After the huge up-move of more than 300 points, it seems like the Bulls have taken a breather, but may cost them huge if Bears come back from hibernation...)