Sunday, January 5, 2014

Option Open Interest for 03-01-2014

Inference
Nifty opened weak below 6200 and went on to touch the lows of the day around 6171, where the responsive buyer came in to take control and closed the day above 6200 but just below the previous day’s close at 6211.15, small loss of 10.00 points. On a week on week basis the index though lost 102.65 points or approx 1.63%. The broader market was positive, with 705 advances to 640 declines. Best resistance for the series at 6500 Level.
  • Call option 6100-6300 added 14.01 lacs huge amount of OI with profit booking seen at 6400 and above strike prices.
  • Put option 6200-5800 added 27.67 lacs huge amount of OI with short covering seen at 6300 and above strike prices.
  • Nifty Open Interest is at 1,76,08,450 down by 17,02,450, with decrease in price, most probably huge long liquidation.
  • Bank Nifty Open Interest is at 15,43,725 up by 71,550, with small decrease in price, most probably huge short build-up.
  • FII’s sold huge 9.64 lacs Futures, mostly long liquidation, as their net OI decreased by 45687 contracts (includes 62915 longs and 82190 shorts for the day) and the average price per contract comes to around 6193.00.
  • FII’s future open contract as on date is 398939.
  • PCR Open Interest (Volume) has gone up to 0.935, due to huge addition at lower level PE.
  • Initial and best support still holding up at 6200, with huge OI of 40.34 lacs and below that at 6100 with OI of 36.53 lacs.
  • Initial resistance getting stronger at 6300, with huge addition of 8.67 lacs for the day and above that at 6400, with OI of 36.80 lacs.
  • Day Range as per Option Table is 6155 - 6259 and as per VIX is 6160 - 6263 with 6201 as the Pivot.
Option Call for 06-01-2014
Buy Nifty 6300CE above 76 for targets of 84, 92 SL - 72
Buy Nifty 6200PE above 87 for targets of 100, 120 SL - 82

India VIX : 15.87 down by 0.68 points
Call OI : 29823700
Put OI : 27894600
PCR OI : 0.935
SMR : 16.97 (Bearish: Though the index stayed below 6200 level for most of the day, but saw the Buyers come back to close it above 6200. Bulls are still very much in the game, Bears need a firm close below 6180...)