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.
FL is now forced to contend with considerable call open 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
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.