Market watch: What does the F&O market suggest about trade on December 16?

The Nifty 50 put call ratio (PCR) closed at 0.51 for the day.

 The bears continue to over-power bulls. Even in today’s trade, all the attempts by bulls to take the market up was suppressed by bears. At the end of the day, Nifty closed 0.60 per cent down or 103.5 points at 17221. After opening on a flat note, the market slipped into weakness in the early and end part of the session. It seems the market will continue on consolidation mode.  

Activity on the F&O front for weekly expiry on December 16 shows 17500 to act as a strong resistance now. Highest open interest contract of 162153 stood at this strike price. The second-highest call option open interest 154082 for Nifty 50 stood at a strike price of 17600. In terms of the highest addition of open interest in the call options front, it was at 17300 in the last trading session. A total of 78022 open interest was added at this strike price.  

In terms of put activity, the highest put writing was seen at a strike price of 17100 (20851 open interest added on 2021-12-15 ), followed by 17200 (15139 open interest added on 2021-12-15). Highest total put open interest (90893) 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 79454 contracts. 

The Nifty 50 put call ratio (PCR) closed at 0.51 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 stand at 17300