F & O Trends

F&O trends for tommarow

Bhusan steel

Bhusan steel was up 0.7%.

37.5% increase in Open interest positions.

del. volume was 3.46%.

CromGreaves

--down 3.8%

--OI build-up 27.87%

--Del. vol 47%
shrt positions are there.

Rolta

up 1.3%

OI postions 23%

del. vol 39.22

Long build up.

TATATea

oi build up 23%

Del. vol 67%

Happy trading for tommarow.

chinatn786

F & O Positions for tommarow.

1. J & K bank

OI up 191%

Price up 0.1%

2. SCI

OI Up 41.6%

Price up 0.2%

3. BomDyeing

OI up 37%

price up 1.4%

Chintan,

Thanks for ur work can you please explain how to interpret them also..

@ tom.... Reliance -- OI up by 11.39% and price of stk was up by 1.3%

Hi Nagendra....the interpretation is like this..

if Oi increase and Price also increase then go long with strict stp loss.


if OI increase and Price decrease then go shrt.


If OI is Increasing and Price is dec. then Shrt covering is taking place


But for every trade keep stp loss..... Higher the OI position Higher will be the Momentum...in either direction.


Yesterday Cromgreav was down 1.3 and OI position was 27% up.. but today shrt covering had taken place and momentum was on long side.
Although such phenomenon doesn't happen everyday.... most of the time direction remains intact.

but as a trader we shd always ready for any eventuallity.


chintan786

To add to the above:

Rising Price + Rising OI = Market is Strong
Falling Price + Rising OI = Market is Weak

Rising Price + Falling OI = Market is Weakening
Falling Price + Falling OI = Market is Strengthening

thanks Czar for the link...... I have learn this method from Radhikanandlal.... she was erlier active on Moneycontrol message board... few ppl here knew her.

i'm using this method in combination with other methods.... MP is one of them and i am very thankful to Sir CV for tht.... although he is not happy with my approach.. and proved me wrong also earlier.....

the best feature wht i like is u don't require real time data feed to trade such stories.... and worst thing is u can't trade nifty with this..... for tht meet Ashish da.... our In-House Nifty expert and still eager to learn more......

I trade in cash mkt with margin money..and take cues from F&O space.

i explained this in trading system thread already...

warm regards,

chintan786

Hi Leo... have u tried of this in real time trading...... specially the last two.....

i some times traded the Falling Oi stocks.... but not get the kind of sucess which i get from Rising Oi....

writing on any thing is 1 thing but implementing the same is different....

chintan786

Hi Chintan:

You can get the details of OI and price relationship in:
http://www.contentlinks.asiancerc.com/kotaknew/Derivatives/FOIncreaseInOI.asp

You can track it and see if it works practically or not.