Hi AJAXX, Good evening. The link provided by CB will be of great help to you. It will complement whatever I mentioned in my post.

However let me tell you this, OI of Options will be very difficult to comprehend. Nobody is sure that a huge OI buildup at a particular strike of any security is due to people going long or shorting that particular strike. Please remember, strong hands always short options. And considering this to be true, huge OI buildup on particular strikes of OPTIONS gives us the support and resistance levels of that particular security on any given moment. As markets are dynamic in nature, so is OI. Therefore any change of OI in options can alter the support and resistance levels.

From the above words two things are clear:

1) OI in OPTIONS does not mean we can arrive at a conclusion as to the future direction of the underlying security. OI buildup in options can never be determined as people going long or short in options. Since strong hands go short in options many a times, we assume that huge OI buildup in CE and PE denotes people going short in those particular strike of CE and PE and hence those strike resembles immediate support and resistances.
2) OI in FUTURES can in someway, give us direction as to where the underlying security is heading, i.e to say, whether it is heading up or down.

There are certain rules to open interest that must be understood and remembered. They have been written in many different publications. But an excellent version of these rules are written by chartist Martin Pring in his book “On Market Momentum”, published by McGraw-Hill.

Google for the book or you can buy a copy from your local bookstore. Reading page number 229 will clear all your doubts.

Happy Trading :)

Hi sudarshan, hold DLF with a SL at 172 and Rcom with a SL at 130 for few more days, if markets trade strong they can add some more gains ahead, avoid entring hsil, bajaj electical, va tech wabag they look weak for now

Hi sanjeev, hold them for few days, can add another 2-3% ahead

Hi ibull, Good morning, thanks for sharing useful info

Hi Raushan, media stocks are likely to haev a immediate impact, avoid radico khaitan, it looks weak

hi sir GM what about nifty tomorrrow

thanx

SIR, BRITINNIA INDUSTRIES LIMITED RATE @922 (15 QTY) PLEASE I WANT YOUR ADVICE
PLEZZZZZZZZZZZ

Hi ibull, good morning.. thanks for sharing this info

Hi guna123, most welcome. nifty seems may open flat.

Hi sudip mondal, it has good support at 600 levels. can test 625-630 in near term

Hi Raushan, most welcome

Hi Prathmesh, yes, these are a hold for some more time

Hi TAPAN, its a safe bet for med/ long term. hold it. will do well. in short term above 900 can test 940-950

Hi CB, holding L&T @ 1098, pfc @ 198 and Tvs motors @ 95.5 . Ur advice sir ??

Hi CB, Hold all these? Pls reply.