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

The Nifty 50 put call ratio (PCR) closed at 0.36 for the day.

The war between Russia and Ukraine continues to hit commodity prices. The price of crude touched the highest since 2008, which remained a drag on the equity market. At close, Nifty was down 2.35 per cent or 382.2 points at 15836.1. Nifty closed at a seven-month low. The state assembly elections exit polls result expected in the evening could give future direction to the equity market. If BJP retains its government in some of the major states, we may see some stability in the equity market domestically. Volatility index, Nifty VIX opened at 27.9575 and closed at 29.33 with a gain of 4.9 per cent.

Activity on the F&O front for weekly expiry on March 10 shows 17000 to act as a strong resistance now. Highest open interest contract of 153767 stood at this strike price. The second-highest call option open interest 118241 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 17000 in the last trading session. A total of 55500 open interest was added at this strike price.

In terms of put activity, the highest put writing was seen at a strike price of 14750, where 25085 open interest was added today, followed by 15800 strike price where (12343) open interest was added. Highest total put open interest (63155) stood at a strike price of 14750. This is followed by a strike price of 15000, which saw a total put option open interest of 60891 contracts. 

The Nifty 50 put call ratio (PCR) closed at 0.36 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 March 10 stands at 16000.

Keywords: F&O, futures, options, call, put, net open interest, strike price, 5paisa.com, support, resistance

Top five call and put open interest with their strike price