Introduction:
Traders may track and compare OI at different strike prices using multistrike OI analysis.
Basic Terms
a) OI: OI stands for Open Interest, reflecting the total number of outstanding futures or options contracts that have not been closed or offset.
Video Explanation:
Why use it?
-> Open Interest is employed by traders and analysts to assess market health, liquidity, and trader interest. It aids in identifying trends and potential market movements.
Navigation
Analysis-> Instrument Overview-> Open Interest-> Multistrike OI
How to use it?
-> Traders can analyze Open Interest in conjunction with other indicators to make informed decisions.
-> Rising OI may indicate increased market activity and interest while falling OI could suggest waning interest.
FAQs:
1) What does it mean when Open Interest remains steady while prices rise?
-> Steady Open Interest amid rising prices may indicate that existing positions are still active, but new positions are not being added at the same pace.
Additional Resources:
a) OI Metrics in Options Trading-> Link
Support
-> For further support and understanding join our trading community group-> Telegram Link
Disclaimer
The materials and content available on this platform are intended solely for educational purposes, aiming to demonstrate the functionalities of the Stolo product and facilitate a better understanding of its operation. It is important to note that we do not assume responsibility for any financial gains or losses incurred. Prior to making any financial decisions, we strongly recommend consulting with your investment advisor for personalized guidance.