Sunday, May 25, 2014

Option Open Interest for 23-05-2014

Inference
The index opened positive and saw buying interest from the morning, with every dip being bought. The index went on to close near the highs of the day at 7367.10, a huge gain of 90.70 points. On a week on week basis the index gained 164.10 points or approx 2.28%. The broader market was highly positive, with 1138 advances to 447 declines. Expected range till Expiry seems to be 7000-7500.
  • Call option 7600 added 6.70 lacs huge amount of OI with short covering seen at 7300 and lower strike prices.
  • Put option 7400-7300 added 17.82 lacs huge amount of OI with profit booking seen at 7100 and lower strike prices.
  • Nifty Open Interest is at 2,10,26,000 down by 1,23,500, with increase in price, most probably short covering.
  • Bank Nifty Open Interest is at 29,11,450 up by 22,075, with increase in price, most probably long build-up.
  • FII’s sold huge 6.01 lacs Futures, mostly short build-up as their net OI increased by 20401 contracts (includes 88570 longs to 100599 shorts for the day) and the average price per contract comes to around 7421.29.
  • FII’s future open contract as on date is 532001.
  • PCR Open Interest (Volume) is up again and now at 0.912.
  • Initial support now up at 7300, with OI addition of 8.40 lacs for the day and below that at 7200 with OI of 30.27 lacs.
  • Initial and superb resistance at 7400 with OI of 56.87 lacs and above that at 7500 with highest OI of 57.53 lacs.
  • Day Range as per Option Table is 7267 - 7435 and as per VIX is 7299 - 7435 with 7347 as the Pivot.
Option Call for 26-05-2014
Buy Nifty 7300CE above 109 for targets of 134, 160 SL - 98
Buy Nifty 7400PE above 84 for targets of 104, 138 SL - 79

India VIX : 17.71 down by 0.13 points
Call OI : 52288400
Put OI : 47691450
PCR OI : 0.912
SMR : 19.42 (Bullish with Caution: After 3 days of consolidation the index moved up and closed above the psychological level of 7300 and now based on OI Table can remain in the range of 7250-7450 till expiry...)

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