Futures and Options Market Watch: What does the Futures and Options Market suggest about trade on February 8?
The Nifty 50 put call ratio (PCR) closed at 0.85 for the day.
Nifty saw a long-buildup today, where price jumped by 0.18 per cent and OI increased by 2.64 per cent, as reflected by Nifty Bank creating a long-buildup, jumped by 0.56 per cent and OI increased by 6.70 per cent.
Nifty
Nifty Bank
The Nifty 50 put call ratio (PCR) closed at 0.85 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 February 8 stands at 21900.
Call Options Data
In the weekly options data analysis, the 22000 strike emerges as a significant resistance level for the Nifty in the short term, boasting the highest Call open interest at 1,83,229 contracts. This level is crucial for traders to monitor. Subsequently, the 22300 strike holds notable open interest with 1,79,403 contracts, while the 22100 strike follows closely with 1,78,260 contracts.
Observing Call writing activities, there is substantial activity at the 22300 strike, evidenced by the addition of 1,06,873 contracts. Additionally, the 22100 and 22000 strikes witness meaningful Call writing, accumulating 85,036 and 84,674 contracts, respectively. These levels suggest potential resistance zones.
On the other hand, notable Call unwinding is observed at the 22800 strike, shedding 26,520 contracts. The 23000 and 22,800 strikes also experience significant Call unwinding, relinquishing 24,153 and 16,229 contracts, respectively. This unwinding could indicate a weakening of resistance at these levels.
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Put Options Data
In the options market for Nifty, notable open interest on the Put side is concentrated at the 21900 strike, making it a crucial support level, evidenced by 1,75,165 contracts. The subsequent significant support areas include the 21700 strike with 1,56,704 contracts and the 21800 strike with 1,51,287 contracts.
There was substantial Put writing at the 21400 strike, where 84,766 contracts were added. Additionally, meaningful Put writing activity was observed at the 21900 and 21300 strikes, contributing 46,589 and 45,307 contracts, respectively.
Conversely, Put unwinding took place at the 21100 strike, witnessing a reduction of 37,963 contracts. The 21000 strike and 20000 strike also experienced Put unwinding, 37,182 and 19,817 contracts, respectively.
Long build-up Stocks
Following scrips were among stocks that had a long build-up. A rise in open interest (OI) and price suggests a concentration of long holdings.
|
SYMBOL
|
PRICE
|
OI
|
PRICE Change
|
OI Change
|
|
TRENT
|
3650.00
|
40,44,800
|
19.63 per cent
|
25.87 per cent
|
|
DELTACORP
|
152.00
|
2,22,00,000
|
10.55 per cent
|
31.21 per cent
|
|
CANBK
|
560.65
|
5,76,90,900
|
7.10 per cent
|
3.66 per cent
|
|
MFSL
|
968.00
|
87,66,400
|
5.36 per cent
|
11.60 per cent
|
|
IDEA
|
15.00
|
1,98,53,60,000
|
4.53 per cent
|
5.73 per cent
|
Short build-up Stocks
A short build-up was seen in these stocks. An increase in OI along with a fall in price points to a build-up of short positions.
|
SYMBOL
|
PRICE
|
OI
|
PRICE Change
|
OI Change
|
|
IEX
|
145.95
|
7,82,21,250
|
-5.10 per cent
|
19.91 per cent
|
|
NAVINFLUOR
|
3101.20
|
18,78,000
|
-4.91 per cent
|
27.62 per cent
|
|
MGL
|
1495.80
|
25,44,000
|
-3.11 per cent
|
0.60 per cent
|
|
BIOCON
|
292.60
|
4,96,57,500
|
-2.61 per cent
|
7.18 per cent
|
|
TECHM
|
1323.60
|
1,29,61,200
|
-2.55 per cent
|
3.67 per cent
|
Disclaimer: The article is for informational purposes only and not investment advice.