F&O stocks: Oberoi Realty, Mphasis among 5 stocks with long buildup
Open interest indicates that bulls are likely to dominate the following counters.
In Thursday’s trading session, the following five stocks witnessed a build of fresh long positions. Let us first understand how this conclusion is reached whether the stock has seen a buildup of fresh long position or not. When the stock prices move up and open interest on the counter also moves upward, it is taken as a sign of a long buildup. The signal is considered more reliable if the volume on the counter has also seen an increase.
Oberoi Realty's stock price jumped 8.05%, and open interest saw a rise of 13.92%.
Mphasis price surged by 2.86%, and open interest saw an increase of 1.3%.
Cholamandalam Investment and Finance rose 2.77%, and the open interest saw an increase of 1.11%.
Manappuram Finance stock rose 2.38%, and the open interest saw an increase of 0.94%.
REC stock price gained 2.27%, and open interest saw an increase of 0.46%.
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Some additional checks would help traders in taking better trading decisions as they increase the probability of a follow-up of the upward movement in the stock price. First, if this fresh long build has come when the stock is very close to its 52-week high, that increases the probability of the stock making an attempt to break its previous 52-week high.
Second, if this long buildup is accompanied by any bullish crossover, which means that whether in the current up move when the open interest has
