Positional Trading with Nifty Options Live Open Interest

Nifty futures has been quite volatile for almost three months now. We are just seeing sideways move just before a new / fresh upside move. In this type of scenario we find trading in options quite risky, so to improve decision making we have introduced a new trading style in nifty options using Open interest. Yes, by using open interest data correctly any trader can generate handsome returns.

First of all you need to know what is open interest.

Then, using open interest to find support and resistance.

Download nifty options live open interest excel sheet.

Check the trend using Nifty Trend Finder Tool.

First step, you need to know the trend of nifty future. As of now we see a short term mixed with downside bias.

Check the factors that may affect the trend. Example: Bihar election, Fed rate decision, Manufacturing data from China, Crude oil and many other factors affects the trend.

Now, look at the nifty options live open interest excel sheet. In this excel sheet, you will find the open interest for all the active strike price. These strike price of both call as well as put options. Now, the thumb rule is if markets are volatile or sideways then you will find support and resistance very accurate. But if market is in trending state, then look for technical analysis charts and get the major levels. To make real money try to keep your trading cost low, for options trading you can buy or sell @ Rs.20/- brokerage charge. To know more click here.

Article published on 1.11.15.

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