Wednesday, August 20, 2014

Option Open Interest for 20-08-2014

Inference
The index opened positive near the highs of the day around 7916, but was not able to sustain the highs and closed near the lows of the day at 7875.30, a small loss of 22.20 points. The broader market though was positive, with 861 advances to 688 declines. Range still at 7700-8000.
  • Call option 7900-8200 added huge 10.50 lacs OI with short covering seen at 7800 and lower strike prices.
  • Put option 7900 added 1.78 lacs OI with profit booking seen at 7800 and lower strike prices.
  • Nifty Open Interest is at 1,50,69,500 down by 1,58,850, whereas Sep Series added 1.19 lacs with small decrease in price, mostly rollover with small long liquidation.
  • Bank Nifty Open Interest is at 18,76,025 down by 57,100, whereas Sep Series added 0.30 lacs with decrease in price, mostly rollover with long liquidation.
  • FII’s bought 3.52 lacs Futures, which includes 2777 contracts long build-up and 4255 contracts short covering, with decrease in net OI by 1478 contracts (includes 34039 longs to 27007 shorts for the day) and the average price per contract comes to around 7874.40.
  • FII’s Index future open contract as on date is 192344 Longs to 97049 Shorts, net long 95295 contracts.
  • PCR Open Interest (Volume) is still at 1.339.
  • Initial and very good support at 7800, with huge OI of 66.09 lacs, whereas best support is at 7700 with huge OI of 77.25 lacs.
  • Initial resistance at 7900, with huge OI of 53.08 lacs, whereas best resistance at 8000 with highest OI of 87.81 lacs.
  • Day Range as per Option Table is 7825 - 7941 and as per VIX is 7819 - 7932 with 7887 as the Pivot.
Option Call for 21-08-2014
Buy Nifty 7900CE above 53 for targets of 60, 70 SL - 48
Buy Nifty 7900PE above 59 for targets of 67, 76 SL - 54

India VIX : 13.66 down by 0.25 points
Call OI : 36958500
Put OI : 49499900
PCR OI : 1.339
SMR : 10.20 (Bullish: The Index for the second day opened above 7900 but unable to sustain above it, may see some range bound move within 7800-8000 range, stay cautious at higher levels...)