Wednesday, September 4, 2013

Option Open Interest for 04-08-2013

Inference
Nifty opened flat to positive, but dipped below to 5320 within the first few minutes of trade. The responsive buyer took control from thereon to move the index above the psychological level of 5400 to the highs of the day at 5460. A swift profit booking saw the index back below 5400, but closed around the highs of the day at 5448.10, a huge gain of 106.65 points. The broader market was positive, with 841 advances to 475 declines. Based on Option Table, there is not much overhead resistance above 5500 level.
  • Call option 5400-5800 added 11.17 lacs huge amount of OI with small short covering seen at 5300 and below strike price.
  • Put option 5100-5450 added 18.45 lacs huge amount of OI with small short covering seen at 5600 and above strike prices.
  • Nifty Open Interest is at 1,84,89,250 down by 1,71,550, with increase in price, most probably short covering.
  • Bank Nifty Open Interest is at 22,02,850 down by 71,025, with increase in price, most probably huge short covering.
  • FII’s bought huge 12.13 lacs Futures, mostly short covering, as their net OI decreased by 28732 (includes 146560 longs and 122296 shorts) contracts and the average price per contract comes to around 5205.99.
  • FII’s future open contract as on date is 391254.
  • PCR Open Interest (Volume) is back near the highs at 1.478.
  • Initial support is up now at 5400, with OI of 42.85 lacs and below that at 5300, with highest OI of 74.29 lacs.
  • Best resistance right now at 5500, with huge OI of 41.86 lacs and above that at 5600 with OI of just 34.41 lacs.
  • Day Range as per Option Table is 5311 - 5528 and as per VIX is 5359 - 5537 with 5409 as the Pivot.
Option Call for 05-08-2013
Buy Nifty 5500CE above 131 for targets of 153, 175 SL - 116
Buy Nifty 5400PE above 158 for targets of 187, 230 SL - 149

India VIX : 31.11 down by 1.38 points
Call OI : 33655600
Put OI : 49756800
PCR OI : 1.478
SMR : 18.47 (Neutral: Bulls came back to erase more than 50% of the down-move of yesterday, but need to be cautious at higher levels as VIX is still very high at 31.11...)