Market watch: What does the Futures and Options market suggest about trade on January 19?
The Nifty 50 put call ratio (PCR) closed at 0.96 for the day.
On Thursday, the frontline indices experienced a negative trend with Sensex closing moderately lower by 0.44 per cent at 71,186.86, and Nifty dropping by 0.51 per cent to conclude at 21,462.25. The broader market indices also saw declines, with Nifty Midcap marginally down by 0.11 per cent and Nifty Smallcap decreasing by 0.18 per cent. Market volatility, as indicated by India VIX, witnessed a 6.70 per cent reduction, signaling a moderate decrease. Top Gainers included Nifty Pharma, Nifty PSU Bank, Nifty Realty, and Nifty Auto, while Nifty Financial Services, Nifty Metal, Nifty Energy, and Nifty Bank were among the Top Losers.
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Activity on the F&O front for weekly expiry on January 19 shows 21,800 to act as a strong resistance now. The highest call open interest contract of 1,01,056 stood at this strike price (near trade). The second-highest call option open interest 90,705 for Nifty 50 stood at a strike price of 21,700 (near trade). In terms of the highest addition of open interest in the call options front, it was at 22,500 in the last trading session. A total of 79,537 open interest was added at this strike price.
In terms of put activity, the highest put writing was seen at a strike price of 21,400, where 81,343 open interest was added today, followed by a 21,200 strike price where 30,919 open interest was added. Highest total put open interest 81,343 stood at a strike price of 21,400 (near trade). This is followed by a strike price of 21,500, which saw a total put option open interest of 80,596 contracts.
The Nifty 50 put call ratio (PCR) closed at 0.96 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 January 25 stands at 21,500.
Top five call and put open interest with their strike price
|
Call OI
|
Strike Price
|
|
1,36,019
|
22,000
|
|
1,29,657
|
22,500
|
|
1,01,056
|
21,800
|
|
90,705
|
21,700
|
|
88,675
|
21,500
|
|
Strike Price
|
Put OI
|
|
20,500
|
1,07,773
|
|
21,000
|
1,06,536
|
|
21,400
|
81,343
|
|
21,500
|
80,596
|
|
20,000
|
73,563
|
Disclaimer: The article is for informational purposes only and not investment advice.