Understanding Shifting Support & Resistance in AOC is crucial for traders looking to navigate market movements with precision. Unlike traditional static levels, AOC dynamically updates support and resistance based on Open Interest (OI), Volume, and OI Change. This guide explains how shifts occur, the difference between strong vs. weak Support Resistance(S/R) , and how to use STT, STB, SFB, and SFT to analyse market trends. Learn how to leverage AOC’s Percentage Graph.
What is Support & Resistance in AOC?
- Support → A level where the market is likely to bounce upward because big players (Put Writers) defend this zone.
- Resistance → A level where the market is likely to reverse downward because big players (Call Writers) try to prevent prices from rising.
In AOC (Advanced Option Chain), support & resistance are identified based on Highest:
✅ Volume (Total trades at a strike price)
✅ Open Interest (OI) (Contracts still open)
✅ OI Change (New positions created)
Any one, two, or all three factors together can form a strong support or resistance.
📌 Above the spot price, we find resistance, and below the spot price, we find support.
🛡️ Strong vs. Weak Support & Resistance
1️⃣ Strong Support & Resistance
- A level is strong if it holds 100% Volume /OI, or OI Change.
- No weakness—big players defend this zone aggressively.
- Example: If 18,000 PE has the highest OI and OI Change with 100% strength, it is a strong support.
2️⃣ Weak Support & Resistance
- A level is weak if another strike price has 75% or more of Volume/ OI or OI Change.
- If weakness becomes 100%, the level shifts.
- Example: If 18,000 PE has support but 18,200 now holds 75% of OI Change, the support is shifting towards 18,200.
Types of Shifting Support & Resistance in AOC
1️⃣ 🟢 STT (Shifting Towards Top) → Support/Resistance is trying to shift higher.
- Example: 18,000 was support, but now 18,200 has 75% or more OI/Volume/OI Change.
- Support is trying to shift higher, but the shift is not yet complete.
- If it reaches 100%, it becomes SFB.
2️⃣ 🔴 STB (Shifting Towards Bottom) → Support/Resistance is trying to shift lower.
- Example: 18,500 was resistance, but 18,300 now has 75% or more OI/Volume/OI Change.
- Resistance is trying to shift lower, but it is not yet confirmed.
- If it reaches 100%, it becomes SFT.
3️⃣ 🟢 SFB (Shifted From Bottom) → Support has completely shifted to a new level.
- Example: 18,000 support fully shifts to 18,200 because it holds 100% OI/Volume/OI Change.
- Now, 18,000 has no value—18,200 is the new support.
4️⃣ 🔴 SFT (Shifted From Top) → Resistance has completely moved down.
- Example: 18,500 resistance fully shifts to 18,300 because it holds 100% OI/Volume/OI Change.
- Now, 18,500 has no value—18,300 is the new resistance.
📌 Key Rule: These shifts apply to both support and resistance.
How to Identify If Support or Resistance Will Change?
To identify if support or resistance might change, follow these steps in AOC:
1️⃣ Identify the current Support & Resistance strike prices.
2️⃣ Check if another strike price has 75% or more of the Volume, OI, or OI Change.
3️⃣ Assume that the weakness (75%) could become 100%.
4️⃣ If that happens, will it alter the current support/resistance?
5️⃣ Will this shift actually complete? (Confirm using the Percentage Graph in AOC).
How to Use AOC to Confirm the Shift?
- Go to AOC’s option chain and click on the strike price’s OI tab.
- Check the Percentage Graph:
- 🟢 Green Box → Strong Support
- 🔴 Red Box → Strong Resistance
- 🟡 Yellow Box → 2nd/3rd strongest level (watch for possible shift).
📌 Final Takeaway – Why Shifting Support & Resistance Matters for Traders
✔ Traditional support & resistance are static, but AOC dynamically updates levels in real-time.
✔ STT/STB signal an ongoing shift, while SFB/SFT confirm a complete shift.
✔ Using OI, OI Change, and Volume, traders can detect market shifts before they fully happen.
✔ Checking the Percentage Graph in AOC ensures better trade accuracy and minimizes risk.
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