Market watch: What does the Futures and Options market suggest about trade on April 18?

The Nifty 50 put call ratio (PCR) closed at 0.54 for the day.

Bad macro-economic data both globally and domestically impacted the performance of the equity market in today’s trade. Besides a long weekend also prevented market participants to take any aggressive position. March inflation came in at 6.95 per cent, which is a 17-month high and much above RBI’s comfort level. Nifty 50 opened at 17599.90 in today’s trade against the previous close of 17530.30. Nonetheless, all the early gains were pared within 15 minutes of trade, and it closed with a loss of 54.65 points or 0.31 per cent at 17475.65. 

Global equity market is trading mix. On Monday (April 18), our market will react to subdued results of tech major Infosys. Nifty VIX opened at 18.16 and closed at 17.785 with a loss of 2.05 per cent.

Activity on the F&O front for weekly expiry on April 21 shows 18500 to act as a strong resistance now. Highest call open interest contract of 110874 stood at this strike price. The second-highest call option open interest 62912 for Nifty 50 stood at a strike price of 17700. In terms of the highest addition of open interest in the call options front, it was at 18500 in the last trading session. A total of 97800 open interest was added at this strike price. 

In terms of put activity, the highest put writing was seen at a strike price of 16500, where 24249 open interest was added today, followed by 17000 strike price where (20958) open interest was added. Highest total put open interest (43449) stood at a strike price of 17000. This is followed by a strike price of 17500, which saw a total put option open interest of 35652 contracts. 

The Nifty 50 put call ratio (PCR) closed at 0.54 for the day. A PCR above 1 is considered bullish while a PCR below 1 is considered bearish. 

Max pain at the end of today's trade for weekly expiry on April 21 stands at 17550. 

Top five call and put open interest with their strike price