BC OPTIONSLEARNINGS
Saved by @SAnngeri

WHAT IS OPEN INTEREST, HOW TO ANALYZE IT AND DOES IT WORK?

In the thread I'll explain everything about Open interest and also all the tools used to analyze it and my personal opinion.

THIS IS THE ONLY THREAD YOU'LL EVER NEED ON OPEN INTEREST.

 1: What is Oi?

Support if Mr A buys 10 lots of 17000ce in Nifty and Mr B sells 10 lots of call in Nifty then the total Oi on 17000 strike price will be 10.

So Oi is basically the number of outstanding contracts which are not squared off.
2: What is Oi used for?

Oi is only used to determine support and resistance on a particular strike price.
For eg: Nifty 16000pe has the highest Oi and 16200pe has to highest Oi.

So 16000 and 16200 level can be considered as good supports.

In the same way, 16500 ce has highest Oi and it can be considered as a resistance.
3: But why?

Highest Oi at 16500ce indicates that highest number of people have sold it BUT it also means that highest number of people have Bought it!

If 16500 acts as resistance, the option will go to 0 and all the buyers will lose money.
So why do we consider it as resistance?

Why do we look at things from an option seller's perspective?
4: It is generally said that option sellers have deep pockets and they will do anything to protect their position.

And also most of the option sellers are positional hence considering things from their perspective can work .

But there's a catch!
5: Before that I'll explain the different tools/ways used to analyse oi

- Total Oi.
I've explained it already in the above example. 16200pe,16000pe on the put side have highest Oi
And 16500ce and the highest TOTAL OI on the call side. Hence we can expect market to trade between this range.
- Change in Oi

Change in oi represents the total change in Oi "TODAY" or present day/right now.

For example 16300pe has the highest addition on change in oi.

Hence we can expect 16300pe to be a good support since option sellers are building their postions.
- Intraday unwinding:

Taking the above example, lets say if market starts to trade below 16300, then the change in Oi figure of 69k at 16300pe will start to drop.

This indicates that 16300pe writers are giving up and this is a bearish sign.
- Positional unwinding:

If the change in Oi figure, starts to turn negative , then it means that the positional option writers are giving up which is a stronger sign.
For example: The change in oi at 16200ce is negative(-4.9k) which clearly indicates that 16200 call writers have given up indicating bullishness in the market.
6: What should you consider?

Out of these 4 tools what should you consider?

So there is no black and white answer you have to take reference from these tools and form your own view. You have to look at everything.
7: DO I BELIEVE OI STILL WORKS?

NO!

In 2018, Total Oi used to work very well.
In2019, Change in Oi was working very well.

But in 2020, Oi completely stopped working.
8: From 2020, the strikes with the highest oi started to breach.

Earlier it was very rare to see the strikes with highest oi get breached. Market used to perfectly respect it. But that's not the case now.
9: For eg: In Banknifty the oi gets built on every 500pts interval.

If Banknifty is at 35800, then 36000ce will have highest oi and 35000pe will have highest oi.

If Banknifty goes above 36000 , then 36000ce oi will start to drop
and 36000pe will start to build up. Hence the edge is lost.

Oi will keep on building and unwinding at every 500 pts strike price Which does make it useful in 2022.
10: I have also made a Youtube video on OI. check it out. https://t.co/L2eWujgUx0
11: Hope you enjoyed reading this and I hope I've changed your view about Oi.

For more learnings join our telegram channel : https://t.co/uNIrqq5aDP

More from Aditya Trivedi

Aditya Trivedi
Aditya Trivedi
@itsAdityaT
BENEFITS OF OPTION SELLING

Most of the successful traders here are option sellers.

Ever wondered why?

Why we have chosen option selling?

How to decide what strategies to use?

THIS IS THE ONLY THREAD YOU'LL EVER NEED!

Find out below

1: Theta decay

The biggest reason and one of the prime reasons is the theta decay.

Option sellers always have an advantage because the as time passes, the option premium falls even if the underlying instrument doesn't move.

2: Being wrong and still making money.

We as option sellers can be wrong with our market view and still end up making money because of the power of theta decay and adjustments to some extent,

3:Playing directional view

Option selling also enables us to take a directional view. Infact, directional view along with theta decay makes it a solid combination.

Debit spreads and credit spreads works great for a directional view.

4: Playing Neutral view

We can make money in option selling even if the market doesn't move as the otm options will go to 0 with the help of theta decay. It's the most fascinating thing.
OPTIONSLEARNINGS , ALL
Aditya Trivedi
Aditya Trivedi
@itsAdityaT
TOP 10 TRADING BOOKS THAT MAKE YOU A BETTER TRADER

I've read a number of books on trading and these are top 10 of them which I found the most useful.

1: Reminiscences of a Stock Operator

This book is a biography of Jesse Livermore, world's greatest trader.

It highlights his trading principles and trading psychology along with how he made and lost his fortune.


2: Market Wizards

This book has interviews with the biggest traders in trading. They are sharing their setups, psychology, the way they think and their experiences.

It's definitely an amazing read.


3:Trading in the Zone

If you're suffering from psychological problems related to trading then this book will solve them!

It talks about all the emotions and psychological barrier a trader goes through and gives a way on dealing with them.


4:Trade Like a Stock Market Wizard by @markminervini

This is a timeless classic and it contains excellent swing trading strategies for people who like to trade stocks positionally.
ALL
Advertisement
Aditya Trivedi
Aditya Trivedi
@itsAdityaT
HOW TO SAVE TAXES IN TRADING AS AN INDIVIDUAL?

A THREAD🧵

In this thread I'll list down all the legal ways in which you can save taxes on the profits you earned from the stock market.

1: Split your money between family members.

If you are trading with a good capital size, to lower taxes, you can always split your money in you family member's account. This greatly reduces your taxes.

It gets even better if they are not earning any money from other sources as there's no tax upto a certain income slab.

2: Claim expenses:

This is the best part. You can claim any expenses which are related to your business.

It could be :

- Rent: Rent of your office. If you're working from your house you can partially claim the rent of the house too.

- Devices: We can easily claim expenses on Laptops, mobile phones, ac, tv, fridge , etc. Anything that's related to the business.

- Internet and electricity: You can claim deduction on internet and electricity bill.
ALL
Aditya Trivedi
Aditya Trivedi
@itsAdityaT
Workshop worth 5 LAKHS absolutely for FREE.

I've posted some amazing stuff about trading which in itself is a workshop.

Posting some of my best threads here.

1: Benefits of Option selling.

Why are most of the successful traders option sellers?

Writing down my reasons for choosing


2: How to use Technical Analysis to form a weekly view as an option


3: How to adjust a short


4: Top Trading books that make you a better
ALL
Aditya Trivedi
Aditya Trivedi
@itsAdityaT
Hello and welcome to my profile.

This is a master thread of all the videos I've put up on my Youtube Channel.

I've shared plenty of learnings based on Option Strategies, Trading Psychology, Price action and other aspects of trading.

Will keep on updating this thread.

What is a Short strangle and how to do it the right way

Explained with live backtesting and


Banknifty Weekly option strategy with adjustments.

Explaining the best way to execute this strategy to make 1% profit a


Nifty weekly option strategy with adjustments. Explained every detail in


A safe strategy to play a bearish view with low risk, high reward

The right way to execute a bear put spread for maximum
OPTIONLEARNINGS , ALL

More from Optionslearnings

Subhadip Nandy
Subhadip Nandy
@SubhadipNandy16
Since 99% of my own trades are in options, the calls I give are also on options. I am of the firm belief, that a basic knowledge of option greeks is necessary for any trader aspiring to trade options. For this, there are numerous books and even more resources on the net/youtube

However, a trader trying to learn Greeks face the problem of information overload. The problems are mainly 3
1. Either the text is too mathematical
2. Or the explanation is too simple just skimming the surface
3. In some cases, outright wrong info ( specially on youtube)

I have decided to make a video on options greeks in which I will try to explain simply ( without the maths 😀) but will go a bit more in-depth so that the info is usable by traders doing actual trades

Spent the major part of today designing the ppt ( 40 slides), hope to upload the video in the next few days. I will also provide the names of other resources which I have referred in making the video so that viewers can refer those texts for a more comprehensive understanding.

The video will be from the view of a trader/practitioner and not just a theoretical discussion.

I sincerely hope starters will be benefitted from my effort 🙏
OPTIONSLEARNINGS
itrade(DJ)
itrade(DJ)
@ITRADE191
NIFTY TRADE
OPTIONSLEARNINGS
Advertisement
itrade(DJ)
itrade(DJ)
@ITRADE191
volatility is very high when market open big gap down or option up hote he and jab market settle hota he option price cool down hote he agar market up bhi ja raha ho to bhi buy option utna nahi badenga ..
OPTIONSLEARNINGS
JayneshKasliwal
JayneshKasliwal
@JayneshKasliwal
In this session we talked about
1. Basics of Option Selling
2. Directional Vs Non Directional
3. Straddle and Strangle Backtest
4. Benefits of Automated
OPTIONSLEARNINGS
Kapil Dhama \U0001f1ee\U0001f1f3
Kapil Dhama 🇮🇳...
@kapildhama
As promised, here is the first video of Iron Fly Simulation of Reverse buying and scalping in directional market

Expiry - 05 August 2021

Will upload daily one simulation in this week

Link to watch - https://t.co/Pp2nux2iU0 https://t.co/kbgpszLiiP
OPTIONSLEARNINGS

You May Also Like

Daoyu
Daoyu
@Daoyu15
@franciscodeasis https://t.co/OuQaBRFPu7
Unfortunately the "This work includes the identification of viral sequences in bat samples, and has resulted in the isolation of three bat SARS-related coronaviruses that are now used as reagents to test therapeutics and vaccines." were BEFORE the


chimeric infectious clone grants were there.https://t.co/DAArwFkz6v is in 2017, Rs4231.
https://t.co/UgXygDjYbW is in 2016, RsSHC014 and RsWIV16.
https://t.co/krO69CsJ94 is in 2013, RsWIV1. notice that this is before the beginning of the project

starting in 2016. Also remember that they told about only 3 isolates/live viruses. RsSHC014 is a live infectious clone that is just as alive as those other "Isolates".

P.D. somehow is able to use funds that he have yet recieved yet, and send results and sequences from late 2019 back in time into 2015,2013 and 2016!

https://t.co/4wC7k1Lh54 Ref 3: Why ALL your pangolin samples were PCR negative? to avoid deep sequencing and accidentally reveal Paguma Larvata and Oryctolagus Cuniculus?
ALL
Vibhu Vashisth
Vibhu Vashisth
@VIBHU_Tweet
Santkumaras-The four adorable kids of the Universe.

The Kumaras r the four sages who roam the Universe as children from the Puranic texts of Hinduism named,Sanaka, Sanatana,Sanandana& Sanatkumara.They r described as the first mind-born creations &sons of the creator God Brahma.


Brahma,who had received the knowledge of Puranas from the Universal being(God Himself), imbibed this to his 4 Kumaras.
Sanat Kumaras then taught the Puranas to Narada.Narada transmitted it to Krishna Dwaipayana who in turn scripted them in monumental epic documents of 18 Puranas.

The Vishnu Purana is recorded in two parts,the Vishnu Purana & Naradiya Purana.The teachings of Sanaka of the Kumara brothers r contained in the Naradiya Purana which is also divided in two parts, the first part containing the teachings of Sanaka &second part,teachings of others.


Born from Brahma's mind,4 Kumars took lifelong vows of celibacy against their father's wishes.They r said to wander throughout materialistic &spiritualistic universe without any desire but with the aim to teach.All 4 brothers studied Vedas from their Childhood&travelled together.


The Bhagwata Purana lists the Kumaras among the 12 Mahajanas(great devotees or bhaktas) who although being eternally liberated souls from birth, still became attracted to the devotional service of Vishnu from their already enlightened state.
ALL
Advertisement
Dr. Thomas Binder, MD
Dr. Thomas Binder, MD
@Thomas_Binder
1/12

RT-PCR corona (test) scam

Symptomatic people are tested for one and only one respiratory virus. This means that other acute respiratory infections are reclassified as


2/12

It is tested exquisitely with a hypersensitive non-specific RT-PCR test / Ct >35 (>30 is nonsense, >35 is madness), without considering Ct and clinical context. This means that more acute respiratory infections are reclassified as


3/12

The Drosten RT-PCR test is fabricated in a way that each country and laboratory perform it differently at too high Ct and that the high rate of false positives increases massively due to cross-reaction with other (corona) viruses in the "flu


4/12

Even asymptomatic, previously called healthy, people are tested (en masse) in this way, although there is no epidemiologically relevant asymptomatic transmission. This means that even healthy people are declared as COVID


5/12

Deaths within 28 days after a positive RT-PCR test from whatever cause are designated as deaths WITH COVID. This means that other causes of death are reclassified as
CATEGORY C19
foone
foone
@Foone
An interesting set of games that I've been vaguely interested in since I was a kid, after seeing one at a friend's house and never being able to find it again, was the BATTLES IN A DISTANT DESERT/BATTLES ON DISTANT PLANETS series.


These are turn-based wargames for windows 3.x, sharing the same engine.
Battles in a Distant Desert is from 1992, and is based on the first Iraq war (Desert Storm)


and Battles on Distant Planets is from 1991, and takes place in SPACE!
I'm pretty sure this is the one I played as a kid.


They've got 3 options to play with:
* Player vs. Player
* Player vs. Computer
* Computer vs. Computer

So it's a 0-2 player game!


They also did a DOS strategy game called "STARDATE 2140.2: GALACTIC CONQUEST" in 1990, but it seems to be lost.
All the games share an experimental AI system based on neural networks.
FUN
Kevin Murphy
Kevin Murphy
@kwmurphy
Okay look - I didn’t grow up with comic books. But I read stacks of science fiction digests and I kit-bashed model cars into fantasy rods, and just tried to maintain a low profile until I could get out of the house. So you could say I’m a distant cousin of the comic book fan. /1

And sometimes one’s childhood passion follows them into adulthood, sometimes not, sometimes as an adult one finds a passion they never had as a child and embraces it. For me, that must include getting involved with a puppet show at the age of thirty. /2

So who’s to say whose passion’s legitimate and whose is bogus? Nobody. Someone might indict your passion but they have no ground to stand on and should be dismissed out of hand. /3

Maybe they’re envious that you have a passion, maybe they think that their passion is cooler than yours, or maybe they’re just insecure, who knows. Doesn’t matter. /4

What matters is that if something gives you joy, and in the process doesn’t hurt others, then by all means follow it. It’s how we explore our secret hopes, our shadow sides, our inner character. /5
CULTURE