Market watch: What does the F&O market suggest about trade on December 8?

The Nifty 50 put call ratio (PCR) closed at 0.77 for the day.

The Indian equity market gained more than what it had lost yesterday. Banks were the leading factor adding to the gains in the frontline equity indices. There was only one company (Asian Paints) among BSE that closed in red, the rest all closed in green. Tata Steel was the top gainer among BSE Sensex companies. From today’s trading action it seems that we are building a base of around 17000. 

Activity on the F&O front for weekly expiry on December 09 shows 18000 to act as a strong resistance now. Highest open interest contract of 169389 stood at this strike price. The second-highest call option open interest 128244 for Nifty 50 stood at a strike price of 17500. In terms of the highest addition of open interest in the call options front, it was at 18000 in the last trading session. A total of 36234 open interest was added at this strike price.

In terms of put activity, the highest put writing was seen at a strike price of 17000 (56042) open interest added on December 7, it was followed by 17200 where 51,224 open interest added on December 7. Highest total put open interest (109651) stood at a strike price of 17000. This is followed by a strike price of 17200, which saw a total put option open interest of 78695 contracts.

The Nifty 50 put call ratio (PCR) closed at 0.77 for the day. A PCR above 1 is considered bullish while a PCR below 1 is considered bearish. 

The Following Table Shows Top 5 Open Interest in Call and Put Option 

The Following Graph Shows Top 5 Open Interest Additon 

The Following Graph Shows Top 5 Open Interest Shed 

The Following Graph Shows Top 5 Open Interest