What is OI for option contracts, and how does it work?
Open interest is the total number of outstanding derivative contracts, such as options or futures that have not been settled for an asset. It is the number of options or futures contracts that are held by traders and investors in active positions. These positions have been opened, but have not been closed out, expired, or exercised. Open interest decreases when buyers (or holders) and sellers (or writers) of contracts close out more positions than were opened that day.
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How to read Option Chain?
Option Types - There are two types of option contracts - Call, and Put. Premium of Call options increases with the increase in price of the underlying, while the premium of the Put options decreases with the increase in price of the underlying, and ...
How can I use Option Chain?
There are multiple ways in which you can use option chain for trading. Some of the ways are - To know the Support/Resistance of the underlying based on OI. Check the OTM contracts that have the highest OI for both Call and Puts. The strike price ...
What are OI buildups?
OI buildups are the classification of market sentiment based on Price & OI change of the future contracts for one trading session. It has 4 types - Long buildup - If price of the contract increases with the increase in OI, it means new long ...
What is an Option Chain? How to use it?
An options chain, also known as an option matrix, is a listing of all available options contracts for a given security. It shows all listed puts, calls, their expiration, strike prices, and Open Interest, Volume, Average Traded Price, and best Ask & ...
How do I search for derivative (FnO) contracts?
You can search for your desired FnO contracts in the ALL tab or Futures tab or Options tab. You can simply type in your desired stock or scrip names and get your desired results. Some key features for searching FnO contracts in IIFL Markets App: You ...