Nifty Open Interest Analysis

[Option.Trader]

Dear OT

i have small query for you..incase of nifty put or call have above 70L we can see as resistance or support....like this is there any figure of stock options like relinfra...waiting for your reply

2) today i saw banknifty options all calls are shorts from 11000 to 12000 CE..in this case how we can interpret

1) Kind of.. .its more of where the people think the higher and lower end of market is

2) No idea on Bank Nifty... not following it... Columbus has a nice thread on it

 

[Option.Trader]

though i am not as proficient as U all are, i have 1 basic question even after reading this thread from post 1.

if they are BIG/SMART money who is buying, it negates the very fact that BIG/SMART money writes options.

infact even if they play with strategies where simultaneous BUY-SELL happens, they have to BUY across various strikes!

See the market wide positions that i just included in the charts... this should give you a good idea of who all are the participants...

 

[jamit_05]

Notice how 5600 PE upped OI by 2 L, where as CE side is dull. If this strength fades, market will crash. I hv put in my short stop orders.

 

[jamit_05]

only 5700 CE has decent strength, meaning pullback to 5650 plus is possible? Tough, but lets see.

 

[sabhlok_r]

only 5700 CE has decent strength, meaning pullback to 5650 plus is possible? Tough, but lets see.

5600PE almost touching 4L...does that add to your view??

 

[jamit_05]

5600PE almost touching 4L...does that add to your view??

It does... check the previous post. Interesting, to see how it really pans out.

Infy, Reliance, Ongc are down. Now if Bank Nifty decides to join the bears, There Will Be Blood.

 

[sabhlok_r]

It does... check the previous post. Interesting, to see how it really pans out.

Infy, Reliance, Ongc are down. Now if Bank Nifty decides to join the bears, There Will Be Blood.

5600PE 5L now....

 

[jamit_05]

54,55,5600 PEs have lapped up a lot more OI today. PEs showing most strength than in last several days. Probably, on the back of the fact that entire South East Asia is in the green. Writers have their hopes pinned on a rally, which is a must (for me) to get fresh shorts

Notice how the theory that Writers are Market Makers, and buyers only react, adds up in current scenario. In other words, today market is gap up, asia is bullish and our PEs are having Higher OI.

 

[sabhlok_r]

54,55,5600 PEs have lapped up a lot more OI today. PEs showing most strength than in last several days. Probably, on the back of the fact that entire South East Asia is in the green. Writers have their hopes pinned on a rally, which is a must (for me) to get fresh shorts

looking for 5650 to enter fresh shorts

 

[jamit_05]

NF printed a New HOD... 5600 PE is firming its ground... much less does it know