Wednesday, September 10, 2014

Option Open Interest for 10-09-2014

Inference
The index after many days saw a huge gap-down and stayed weak throughout the entire session, with every small up move being sold into. The index ultimately closed below 8100 at 8094.10, a huge loss of 58.85 points. The broader market though was positive, with 889 advances to 686 declines. The range for the series is now at 8000-8300.
  • Call option 8100-8300 added huge 13.77 lacs OI with profit booking seen at 8400 strike price.
  • Put option 7900-7800 added huge 2.46 lacs OI with short covering seen at 8100 and above strike prices.
  • Nifty Open Interest is at 1,44,86,450 down by 6,90,350, with decrease in price, probably huge long liquidation.
  • Bank Nifty Open Interest is at 19,64,175 up by 67,425, with not much change in price, probably long build-up.
  • FII’s sold huge 10.19 lacs Futures, which includes 12340 contracts long liquidation and 8037 contracts short build-up, with decrease in net OI by 4303 contracts (includes 33680 longs to 54057 shorts for the day) and the average price per contract comes to around 8129.21.
  • FII’s Index future open contract as on date is 199935 Longs to just 58849 Shorts, net long 141086 contracts.
  • Initial and best support at 8000, with highest OI of 83.22 lacs and below that at 7900 with huge OI of 58.29 lacs.
  • Initial resistance at 8100, with OI of 48.51 lacs and above that at 8200 with OI of 57.61 lacs.
  • Day Range as per Option Table is 8052 - 8149 and as per VIX is 8039 - 8149 with 8104 as the Pivot.
Option Call for 11-09-2014
Buy Nifty 8100CE above 98 for targets of 112, 128 SL - 93
Buy Nifty 8100PE above 68 for targets of 76, 85 SL - 63

India VIX : 12.93 up by 0.17 points
Call OI : 34795100
Put OI : 41067950
PCR OI : 1.180
SMR : 10.96 (Neutral to Bullish: For the first time after many days, the CE writers added good quantity of OI at 8100-8300 level, a follow-up action can see 8200-8300 level stabilising itself as a huge resistance...)

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