Monday, July 14, 2014

Option Open Interest for 14-07-2014

Inference
The index opened flat to positive and stayed in a narrow range for the entire session with the bias being negative, but closed just flat at 7454.15, a small loss of 5.45 points. The broader market was also weak, with 586 advances to 955 declines. Broader range for the series has shifted down to 7300-7800.
  • Call option 7400-7700 added 18.32 lacs huge amount of OI with profit booking seen at 7800 and above strike prices.
  • Put option 7400-7300, 7100 added 5.59 lacs huge amount of OI with short covering seen at 7500 and above strike prices.
  • Nifty Open Interest is at 1,41,60,100 up by 4,44,100, with no change in price, most probably long build-up.
  • Bank Nifty Open Interest is at 21,08,225 down by 2,250, with increase in price, most probably small short covering.
  • FII’s bought huge 6.73 lacs Futures, which includes 4994 long addition and 8463 short covering, with net OI decreased by 3469 contracts (includes 38881 longs to 25424 shorts for the day) and the average price per contract comes to around 7441.43.
  • FII’s Index future open contract as on date is 160410 Longs to 130844 Shorts.
  • PCR Open Interest (Volume) is very weak at 0.706.
  • Initial support at 7400, with huge OI of 43.44 lacs and below that at 7300 with OI of 45.81 lacs.
  • Initial resistance now at 7500, with huge OI addition of 9.03 lacs and above that at 7600 with huge OI of 47.52 lacs.
  • Day Range as per Option Table is 7369 - 7540 and as per VIX is 7393 - 7515 with 7452 as the Pivot.
Option Call for 15-07-2014
Buy Nifty 7500CE above 83 for targets of 94, 107 SL - 79
Buy Nifty 7500PE above 108 for targets of 124, 143 SL - 103

India VIX : 15.56 down by 0.16 points
Call OI : 48017550
Put OI : 33895300
PCR OI : 0.706
SMR : 22.04 (Bearish with Caution: A flat day, but huge addition seen in Nifty OI, PCR is very weak at 0.706, and SMR at 22.04, Highly Bearish environment, need to be cautious with shorts at lower levels...)