Tuesday, July 1, 2014

Option Open Interest for 01-07-2014

Inference
The index opened positive and stayed in the green for the entire session of trade within a very narrow range of just 31 points and close at 7634.70, a small gain of 23.35 points. The broader market was also positive, with 1009 advances to 540 declines. Broader range for July series comes at 7000-8000.
  • Call option 7800-8100 added 8.65 lacs huge amount of OI with short covering seen at 7600 and below strike prices.
  • Put option 7700-7000 added 9.67 lacs huge amount of OI with small profit booking seen at 7400 strike price.
  • Nifty Open Interest is at 1,36,03,750 down by 3,71,000, with increase in price, most probably huge short covering.
  • Bank Nifty Open Interest is at 20,85,075 down by 49,400, with increase in price, most probably short covering.
  • FII’s sold 0.61 lacs Futures, mostly long liquidation as their net OI decreased by 1229 contracts (includes 30160 longs to 31389 shorts for the day) and the average price per contract comes to around 7669.06.
  • FII’s Index future open contract as on date is 184451 Longs to 102607 Shorts.
  • PCR Open Interest (Volume) is hovering just below 1 at 0.910.
  • Initial support at 7500, with OI of 34.11 lacs and best at 7000 with OI of 38.44 lacs.
  • Initial resistance at 7700, with OI of 26.63 lacs and best at 8000 with highest OI of 62.57 lacs.
  • Day Range as per Option Table is 7571 - 7694 and as per VIX is 7564 - 7705 with 7634 as the Pivot.
Option Call for 02-07-2014
Buy Nifty 7700CE above 130 for targets of 137, 148 SL - 121
Buy Nifty 7600PE above 126 for targets of 133, 145 SL - 119

India VIX : 17.66 down by 0.21 points
Call OI : 29047700
Put OI : 26431200
PCR OI : 0.910
SMR : 19.41 (Bullish to Neutral: A perfect consolidation after the huge up-move of yesterday, with the index comfortably placed above 7600, the only hitch is decrease of OI with increase in price...)