Thursday, July 3, 2014

Option Open Interest for 03-07-2014

Inference
The index opened positive but got sold off to the lows of the day at 7707 and stayed weak to close the day near the lows at 7714.80, a small loss of 10.35 points. The broader market was also negative, with 648 advances to 917 declines. Broader range for July series comes at 7500-8000.
  • Call option 7700-8200 added 17.05 lacs huge amount of OI with short covering seen at 7600 and below strike prices.
  • Put option 7700-7500 added 6.45 lacs huge amount of OI with small profit booking seen at 7300 and below strike prices.
  • Nifty Open Interest is at 1,43,53,000 down by 1,65,650, with decrease in price, most probably long liquidation.
  • Bank Nifty Open Interest is at 21,02,275 down by 38,500, with decrease in price, most probably long liquidation.
  • FII’s sold 3.46 lacs Futures, mostly long liquidation as their net OI decreased by 3231 contracts (includes 26599 longs to 33518 shorts for the day) and the average price per contract comes to around 7739.91.
  • FII’s Index future open contract as on date is 201887 Longs to 112477 Shorts.
  • PCR Open Interest (Volume) is hovering between 0.9 and 1 and placed at 0.945.
  • Initial support at 7700, with huge addition for the day at 2.20 lacs and best at 7500 with OI of 43.91 lacs.
  • Initial resistance at 7800, with OI of 38.64 lacs and best at 8000 with highest OI of 72.06 lacs.
  • Day Range as per Option Table is 7660 - 7780 and as per VIX is 7643 - 7787 with 7725 as the Pivot.
Option Call for 04-07-2014
Buy Nifty 7800CE above 122 for targets of 130, 143 SL - 117
Buy Nifty 7600PE above 91 for targets of 98, 107 SL - 87

India VIX : 17.81 up by 0.24 points
Call OI : 31766250
Put OI : 30004850
PCR OI : 0.945
SMR : 18.86 (Bullish with Caution: Another consolidation day, but the bias stayed negative with liquidation seen in the index, 7800 level still remains a huge resistance...)