Futures & options
What is Open interest?
Also called: OI, PCR, Put-call ratio
Hinglish mein padhein: Open interest (OI) kya hota hai?
Open interest is the number of outstanding F&O contracts not yet closed. Rising OI with rising prices suggests fresh long positions.
The put-call ratio (PCR) compares open interest in puts and calls; traders read extremes as signs of excess fear or greed.
OI is a positioning indicator, not a timing signal.
Related terms
- FuturesA futures contract is an agreement to buy or sell an asset at a set price on a future date. Both sides are obliged to settle.
- Options (call and put)An option gives the buyer the right, but not the obligation, to buy (call) or sell (put) at a strike price before expiry. The seller takes the obligation.