6-SEPTEMBER NIFTY BANK NIFTY OPTION CHAIN ANALYSIS |FII DII OPTION BUY SELL POSITION|DERIVATIVE GURU

What is NIFTY ? The NIFTY 50 is a benchmark Indian stock market index that represents the weighted average of 50 of the largest Indian companies listed on the National Stock Exchange. It is one of the two main stock indices used in India, the other being the BSE SENSEX. What is Bank nifty? Bank Nifty represents the 12 most liquid and large capitalised stocks from the banking sector which trade on the National Stock Exchange (NSE). What is nifty option chain ? An option chain is a listing of all the put option and call option strike prices along with their premiums for a given maturity period. Option Chain Nifty: Use the highest Open Interest to determine support and resistance: Using Nifty Option Chain table, the Open Interest data can give very useful clues to determine Support and Resistance. e.g. if 6000PE has the highest open interest, traders perceive it as important support for the current expiry. Keeping in view that most institutional investors write options rather than buy, the data helps to understand the sentiment of ‘intelligent money’. Similarly, if huge open interest is build for 6200 calls it will be seen as major resistance zone. Close to expiry, the market may stay range-bound between these two levels. For more details connect with DERIVATIVE GURU at https://wa.me/message/RJDVKV4P5S2GC1