Market watch: What does the F&O market suggest about November 11 trade?

The Nifty 50 put call ratio (PCR) closed at 0.69 compared to 0.73 in the previous trading session.

The US market on November 09, ended eight days of winning streak. The impact was visible on the Indian equity market also. Nifty ended in red for the second day in a row. At close, Nifty was down 0.15 per cent or 27 points to 18017.2. 

Activity in the F&O market for the weekly expiry on November 11, 2021, shows that 18,200 will continue as a strong resistance for the next trading session. The highest call option open interest (124,931) for Nifty 50 stood at a strike price of 18,200. In terms of the highest addition of open interest in the call options front, it was at 18,000 in the last trading session. A total of 26,790 open interest was added at this strike price. The next highest call option open interest stands at 18,100 where total open interest stood at 104,229. 

In terms of put activity, highest put writing was seen at strike price of 17800 (14,941 open interest added on November 10), followed by 17,750 (12171 open interest added on November 10), while there was put unwinding at strike price 17,300, followed by 17,000. 

The highest total put open interest (79,410) stood at a strike price of 17,900. This is followed by a strike price of 17,800, which saw a total put option open interest of 78,874 contracts. 

The following graph shows the highest change in call and put option open interest on November 10, for weekly expiry on November 11. 

Following table shows the difference between call and put option at strike price near to max pain of 18000. 

*in terms of open interest