Thursday, September 5, 2013

Option Open Interest for 05-09-2013

Inference
Nifty opened up by 105 points, and went up to touch the highs of the day at 5626, but small profit booking saw the index below 5600 and stayed within a narrow range of 50 points to close at 5592.95, a huge gain of 144.85 points. The broader market was positive, with 922 advances to 394 declines. Based on Option Table, the range for the time being is 5300-5700.
  • Call option 5550, 5650-5900 added 2.27 lacs huge amount of OI with huge short covering seen at 5500 and below strike price.
  • Put option 5650-5550 added 17.02 lacs huge amount of OI with small short covering seen at 5700 and above strike prices.
  • Nifty Open Interest is at 1,77,79,500 down by 7,09,750, with increase in price, most probably huge short covering.
  • Bank Nifty Open Interest is at 21,28,575 down by 74,275, with increase in price, most probably huge short covering.
  • FII’s bought huge 22.69 lacs Futures, mostly short covering, as their net OI decreased by 37997 (includes 149481 longs and 104106 shorts) contracts and the average price per contract comes to around 5417.75.
  • FII’s future open contract as on date is 353257.
  • PCR Open Interest (Volume) is hovering around the level of 1.468.
  • Initial support just moved up at 5500, with huge addition of 10.69 lacs for the day and below that at 5400, with huge OI of 39.97 lacs.
  • Initial but weak resistance right now at 5600, with OI of just 33.55 lacs and above that at 5700 with OI of 40.99 lacs.
  • Day Range as per Option Table is 5478 - 5702 and as per VIX is 5509 - 5676 with 5590 as the Pivot.
Option Call for 06-09-2013
Buy Nifty 5600CE above 143 for targets of 164, 186 SL - 134
Buy Nifty 5600PE above 144 for targets of 166, 193 SL - 139

India VIX : 28.53, down by huge 2.58 points
Call OI : 33528500
Put OI : 49205050
PCR OI : 1.468
SMR : 19.44 (Bullish: Huge rally of the last 2 days has been on short covering, Bulls need to add OI to stay on course or else Bears may take the opportunity to sell high and come back with huge force...)