Wednesday, September 24, 2014

Option Open Interest for 24-09-2014

Inference
The index opened flat and after making an initial high around 8042, saw selling pressure to dip below 8000. A huge selloff during the afternoon saw the index dip towards 7950, but some value buying saw the index close just above the psychological level of 8000 at 8002.40, a small loss of 15.15 points. The broader market though was very weak, with just 381 advances to 1169 declines. The range for Expiry comes around 7940-8065.
  • Call option 8000-8100 added huge 33.50 lacs OI with profit booking seen at 8200 and above strike prices.
  • Put option 7800 added huge 5.83 lacs OI with short covering seen at 8050 and above strike prices.
  • Nifty Open Interest is at 80,77,700 down by 20,39,150, whereas Oct series added 25.36 lacs with decrease in price, probably 100% rollover with short build-up.
  • Bank Nifty Open Interest is at 13,12,450 down by 1,13,050, whereas Oct series added 2.60 lacs with decrease in price, probably 100% rollover with huge-huge short build-up.
  • FII’s sold 2.08 lacs Futures, which includes 5130 contracts long build-up and 9293 contracts short build-up, with increase in net OI by 14423 contracts (includes 143482 longs to 147645 shorts for the day) and the average price per contract comes to around 8027.03.
  • FII’s Index future open contract as on date is 251770 Longs to 153146 Shorts, net long 98624 contracts.
  • Initial and best support still at 8000, with huge OI of 66.49 lacs and below that at 7900 with huge OI of 57.26 lacs.
  • Initial resistance at 8050, with huge OI addition of 3.37 lacs and above that at 8100 with huge OI of 71.26 lacs.
  • Day Range as per Option Table is 7933 - 8071 and as per VIX is 7950 - 8055 with 7998 as the Pivot.
Option Call for 25-09-2014
Buy Nifty 8000CE above 38 for targets of 57, 85 SL - 29
Buy Nifty 8000PE above 25 for targets of 40, 62 SL - 19

India VIX : 12.54 up by 0.13 points
Call OI : 38251750
Put OI : 34548850
PCR OI : 0.903
SMR : 13.88 (Bearish: The CE writers have made sure that Expiry will be as per their wish, with huge addition at 8000-8100CE level, the 8000PE level has started to look vulnerable but still the best support...)