Wednesday, October 22, 2014

Option Open Interest for 22-10-2014

Inference
The index opened up by around 70 points and then stayed in a narrow range of 30 points but closed near the top at 7995.90, gain of 68.15 points. The broader market was just positive, with 1003 advances to 501 declines. The series range has narrowed down to 7900-8100.
  • Call option 8100-8200 added 8.63 lacs OI with short covering seen at 8000 and below strike prices.
  • Put option 8100-8000 added huge 25.37 lacs OI with profit booking seen at 7800 and below strike prices.
  • Nifty Open Interest is at 1,71,06,700 up by 3,15,800, with increase in price, probably huge long build-up.
  • Bank Nifty Open Interest is at 18,72,575 down 86,475, with small increase in price, probably huge long liquidation.
  • FII’s bought huge 9.34 lacs Futures, which includes 24633 contracts long build-up and 5950 contracts short build-up, with increase in net OI by 18683 contracts (includes 58145 longs to 39462 shorts for the day) and the average price per contract comes to around 8053.67.
  • FII’s Index future open contract as on date is 264824 Longs to 93025 Shorts, net long 171799 up by 18683 contracts.
  • Initial support at 8000, with huge OI of 47.10 lacs and below that at 7900 with OI of 57.57 lacs.
  • Initial and best resistance at 8100, with highest OI of 64.78 lacs and above that at 8200 with huge OI of 64.04 lacs.
  • Day Range as per Option Table is 7920 - 8066 and as per VIX is 7941 - 8050 with 7992 as the Pivot.
Option Call for 23-10-2014
Buy Nifty 8000CE above 51 for targets of 59, 67 SL - 47
Buy Nifty 8000PE above 43 for targets of 49, 58 SL - 39

India VIX : 13.03 down by 0.30 points
Call OI : 36913250
Put OI : 38568400
PCR OI : 1.045
SMR : 12.47 (Bullish: The index in the last 4 session has gained around 275 points, but the resistance around 8100-8200 has been rock solid, the PE writers need to pump up the volume...)