Tuesday, May 20, 2014

Option Open Interest for 20-05-2014


Inference
The index opened up for the third day in a row and moved up to touch the high at 7320, though profit booking took the shine out of the index and it closed flat at 7275.50, small gain of 11.95 points. The broader market though was highly positive, with 1226 advances to 340 declines. Expected range till Expiry seems to be 7000-7500.
  • Call option 7400-7600 added 5.29 lacs huge amount of OI with short covering seen at 7200 and lower strike prices.
  • Put option 7300-7100 added 15.60 lacs huge amount of OI with profit booking seen at 6700 and lower strike prices.
  • Nifty Open Interest is at 2,16,25,500 down by 2,83,900, with small increase in price, most probably short covering.
  • Bank Nifty Open Interest is at 28,73,700 up by 1,71,050, with decrease in price, most probably short build-up.
  • FII’s bought huge 8.73 lacs Futures, mostly long build-up as their net OI increased by 18219 contracts (includes 81451 longs to 63982 shorts for the day) and the average price per contract comes to around 7343.04.
  • FII’s future open contract as on date is 471905.
  • PCR Open Interest (Volume) is moving higher and now at 0.811.
  • Initial support at 7200, with huge addition of 6.85 lacs for the day and below that at 7000 with huge OI of 47.78 lacs.
  • Initial resistance still at 7300 with OI of 36.85 lacs and above that at 7500 with highest OI of 58.50 lacs.
  • Day Range as per Option Table is 7188 - 7384 and as per VIX is 7202 - 7349 with 7292 as the Pivot.
Option Call for 21-05-2014
Buy Nifty 7200CE above 147 for targets of 168, 199 SL - 139
Buy Nifty 7300PE above 80 for targets of 98, 121 SL - 75

India VIX : 19.23 down by 1.40 points
Call OI : 56960900
Put OI : 46173400
PCR OI : 0.811
SMR : 23.72 (Bullish with Caution: Profit booking seen at higher levels, though the index is comfortably placed above all moving averages, but PCR below 1 and resistance developing around 7400-7500 level could be a dampener moving forward...)