Tuesday, September 10, 2013

Option Open Interest for 10-09-2013

Inference
Nifty opened huge up on the back of good global cues and saw the responsive buyers jumped in to move the index up within a few minutes to scale the level of 5800 and then went on relentlessly to move above 5900 but closed just below it at 5896.75, the biggest one day up-move of 216.35 points in years. The broader market was positive, with 956 advances to 394 declines. Based on Option Table, the PE writers are standing on a perfect platform to launch an all-out attack.
  • Call option 5900-6300 added 38.22 lacs huge amount of OI with huge short covering seen at 5800 and below strike price.
  • Put option 6000-5500 added 78.79 lacs huge amount of OI with small profit booking seen at 5400 and below strike prices.
  • Nifty Open Interest is at 2,01,28,950 up by 20,40,700, with increase in price, most probably huge long build-up.
  • Bank Nifty Open Interest is at 20,57,475 down by 96,675, with increase in price, most probably huge short covering.
  • FII’s bought huge-huge 50.93 lacs Futures, mostly long build-up, as their net OI increased by 72336 (includes 258316 longs and 156456 shorts) contracts and the average price per contract comes to around 5746.06.
  • FII’s future open contract as on date is 436777.
  • PCR Open Interest (Volume) is at 1.598.
  • Initial support is now up at 5800, with huge addition of 22.20 lacs for the day and below that at 5700, with huge OI of 31.59 lacs.
  • Initial resistance right now at 5900 though look vulnerable, with OI of just 32.51 lacs and above that at 6000 with OI of 39.87 lacs.
  • Day Range as per Option Table is 5742 - 5975 and as per VIX is 5806 - 5988 with 5847 as the Pivot.
Option Call for 11-09-2013
Buy Nifty 6000CE above 91 for targets of 113, 135 SL - 73
Buy Nifty 5800PE above 115 for targets of 135, 166 SL - 109

India VIX : 29.44, up by 0.79 points
Call OI : 35523600
Put OI : 56761200
PCR OI : 1.598
SMR : 18.42 (Bullish: Nifty saw the biggest one day up-move in the last 3 years with a huge run-away gap and more than 10% increase in Nifty Open Interest, the Bears have been decimated for the time being...)