scorecardresearchOpen Interest: How does it simplify options trading?

Open Interest: How does it simplify options trading?

Updated: 29 Jul 2022, 08:03 AM IST
TL;DR.
Open Interest provides a true picture of option trading activity and indicates whether capital is moving more or less into the futures and options markets. Let's discover more about it in depth.
Open interest will rise by one contract if a buyer and a seller team up and start a new position of one contract.

Open interest will rise by one contract if a buyer and a seller team up and start a new position of one contract.