F&O Action: Future and Options market cues for January 14

Max pain at the end of today's trade stand at 18200.

Nifty 50 finally closed in the green on the weekly expiry day. It remained volatile for the most part of the trading session, however, the last half hour recovery saw Nifty 50 closing in the green. Despite all the volatility in the market, Nifty VIX closed 0.48 lower than yesterday’s close at 16.7, the lowest in a month.  

Activity on the F&O front for weekly expiry on January 20 shows 18200 to act as a strong resistance now. Highest open interest contract of 50084 stood at this strike price. The second-highest call option open interest 48953 for Nifty 50 stood at a strike price of 19000. In terms of the highest addition of open interest in the call options front, it was at 19000 in the last trading session. A total of 45655 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 (53406) open interest added on (January 13), followed by 18000 where (52855) open interest was added on January 13. Highest total put open interest (63378) stood at a strike price of 17000. This is followed by a strike price of 18000, which saw a total put option open interest of 59944 contracts. 

The Nifty 50 put call ratio (PCR) closed at 1.09 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 stands at 18200.