Monday, October 6, 2014

Option Open Interest for 01-10-2014

Inference
The index opened flat and stayed in a narrow range but with negative bias throughout the entire session of trade, with a small pullback towards the afternoon being sold. The index ultimately closed at 7945.55, a loss of 19.25 points. The broader market was also negative, with 592 advances to 932 declines. The series range remains at 7800-8200.
  • Call option 7900-8100, 8400-8500 added huge 7.29 lacs OI with profit booking seen at 8200-8300 strike prices.
  • Put option 7800-7500 added huge 16.05 lacs OI with short covering seen at 8000 and above strike prices.
  • Nifty Open Interest is at 1,56,39,450 down by 62,200, with small decrease in price, probably long liquidation.
  • Bank Nifty Open Interest is at 14,63,875 down by 15,875, with decrease in price, probably long liquidation.
  • FII’s bought small 0.92 lacs Futures, which includes 584 contracts long build-up and 1250 contracts short covering, with decrease in net OI by 666 contracts (includes 27779 longs to 25945 shorts for the day) and the average price per contract comes to around 7944.45.
  • FII’s Index future open contract as on date is 213988 Longs to 62841 Shorts, net long 151147 contracts.
  • Initial support still at 7900, with OI of 46.61 lacs and below that at 7800 with highest OI of 56.80 lacs.
  • Initial resistance at 8100, with OI of 48.63 lacs and above that at 8200 with huge OI of 53.29 lacs.
  • Day Range as per Option Table is 7885 - 8021 and as per VIX is 7891 - 8000 with 7953 as the Pivot.
Option Call for 07-10-2014
Buy Nifty 8000CE above 104 for targets of 111, 121 SL - 99
Buy Nifty 8000PE above 117 for targets of 128, 140 SL - 109

India VIX : 13.00 down by 0.15 points
Call OI : 32097550
Put OI : 35257500
PCR OI : 1.098
SMR : 11.83 (Bearish to Neutral: Though the index closed below 8000, the support at 7900-7800 is very much intact but huge resistance developing around 8100-8200, may see some range bound moves for the next few days...)