What is CME open interest?
What is CME open interest?
Open interest is the total number of futures contracts held by market participants at the end of the trading day. It is used as an indicator to determine market sentiment and the strength behind price trends.
What is volume vs open interest?
Volume and open interest are two key technical metrics that describe the liquidity and activity of options and futures contracts. “Volume” refers to the number of contracts traded in a given period, and “open interest” denotes the number of contracts that are active, or not settled.
Where can I find futures open interest data?
The most reliable source is NSE open interest, this is the site of theNational Stock exchange (NSE). Here you will find out the last day’s Open Interest as shown in the picture. However, data are updated at the end of the day (EOD). For investment or trading in futures contracts, we can take the help of this data.
What does it mean when open interest is higher than volume?
When the volume exceeds the existing open interest on a given day, it suggests that trading in that option was exceptionally high that day. When options have a significant open interest, it means there are a large number of buyers and sellers out there.
What is volume futures trading?
Volume is the total number of futures contracts traded in a specific market. The higher the volume, the more actively traded or more liquid a futures contract or commodity is. Technical analysts use volume as a tool; that’s because it confirms a price trend.
What does volume mean in stocks?
Volume measures the number of shares traded in a stock or contracts traded in futures or options. Volume can indicate market strength, as rising markets on increasing volume are typically viewed as strong and healthy. When prices fall on increasing volume, the trend is gathering strength to the downside.
What is good volume for a stock?
Thin, Low-Priced Stocks = Higher Investment Risk To reduce such risk, it’s best to stick with stocks that have a minimum dollar volume of $20 million to $25 million. In fact, the more, the better. Institutions tend to get more involved in a stock with daily dollar volume in the hundreds of millions or more.
What is volume in option chain?
Volume refers to the total number of contracts that are created over the course of the day. For instance, a volume of 100 represents 100 contracts have been traded on a particular option during the day. Keep in mind that in the options segment, for every buyer, there is a seller.
What is a good volume for a stock?
Which futures have the highest volume?
Identifying Top Commodity Markets
| Commodity | Average Daily Volume (ADV) | Open Interest |
|---|---|---|
| Crude Oil (WTI) | 687,479 | 2,187,168 |
| Corn | 532,269 | 1,505,976 |
| Henry Hub Natural Gas Future | 466,455 | 1,233,792 |
| Soybeans | 192,684 | 807,569 |
