Open interest


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Open interest

The total number of derivatives contracts traded that have not yet been liquidated either by an offsetting derivative transaction or by delivery. Related: Liquidation.

Open Interest

1. The options or futures contracts that an investor has not closed and that have not matured or expired. For example, if an investor buys 10 futures contracts on Monday, and sells six on Wednesday, the investor has an open interest of four at the end of the trading day on Wednesday. It should not be confused with the trading volume for an option or futures contract.

2. The number of orders to buy a security made before the beginning of a trading day.

open interest

The number of contracts for particular futures or an option which, at a given time, are outstanding. A large open interest indicates more activity and liquidity for the contract.

Open interest.

Open interest is a record of the total number of open contracts in any particular commodity or options market on any given day.

You have an open interest when you enter a futures or options contract. The contract remains open until it expires, requires delivery or settlement, or you close it by selling it or buying an offsetting contract.

Open interest is not the same thing as trading volume, which records how many contracts have been opened or closed on a particular day.

References in periodicals archive ?
Open interest is the total number of outstanding positions in the futures and options market at the end of the day.
Rising prices and rising open interest: If prices are rising and open interest is moving above its average, it indicates buying interest.
50, as put open interest easily outnumbers call open interest among near-term options.
To get a better gauge of sentiment among the speculative options crowd, let's turn to the stock's Schaeffer's put/call open interest ratio (SOIR).
More than 25,000 contracts have changed hands on this in-the-money position, which was already among the top three strikes for call open interest in the January series.
A put/call open interest ratio is simply the ratio of total put open interest to total call open interest.
In trading on Tuesday, open interest at the equity's December 15 put jumped by more than 3,800 contracts, while the December 17.
In the front month, there are more than 61,000 contracts in open interest (this strike has seen volume of more than 15,000 already today).
The equity's Schaeffer's put/call open interest ratio had risen from 0.
There is still plenty of pessimism left in the security's options backdrop, however, as AAPL's Schaeffer's put/call open interest ratio (SOIR) of 1.
All of this trading shoved the exchange-traded fund's Schaeffer's put/call open interest ratio (SOIR) to 2.