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change in oi increases premium decrease - call writting fresh short call (up-Down)

change in oi decreses premium increse- short covering (Down-Up)


change in OI increses premium increses - Fresh long (UP-UP)
change in oi decrese premium decreses- long unwinding (DOWN-DOWN)

Major action is on the strike price which is multiple of 100.


highest oI and higest change in OI must be on same strike price.

Highest OI on call side shows resistance level and Highest OI on put side shows
support level. max OI builtup shows support(put side) and resistence (Call side).
we can see immidiate resistence/support(second hiest OI) or on broder level actual
support/resistence(highest OI).

Kindly see change in OI to know in which direction support and resistence is


moving. Both support and resistencemust move in same direction.

Sellers are always right

when you find support and resistence level then simply check magnetic force means
higest OI is in call side or put side. If highest OI is caall side then price will
move on that strke price and viceversa.

it only works when highest OI and highest change in OI is on the same strike price.

Hedging is done only by put option. if call oi is incresing then simply it means
market is bullish

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