Market watch: What does the Futures and Options market suggest about trade on January 23?

The Nifty 50 put call ratio (PCR) closed at 1.04 for the day.

The Indian leading indexes ended Saturday's turbulent trading session on a much lower note. The BSE Sensex fell 0.36 per cent, closing at 71,423, while the Nifty 50 index down 0.23 per cent, settling at 21,571. In contrast, wider indices remained strong throughout the session. The Nifty Mid-Cap 100 rose 0.52 per cent to 48,063, while the Nifty Small-Cap 100 increased 0.20 per cent to 15,519.

Activity on the F&O front for weekly expiry on January 20 shows 21,700 to act as a strong resistance now. The highest call open interest contract of 1,56,136 stood at this strike price (near trade). The second-highest call option open interest 1,34,255 for Nifty 50 stood at a strike price of 21,800 (near trade). In terms of the highest addition of open interest in the call options front, it was at 21,700 in the last trading session. A total of 41,580 open interest was added at this strike price.

In terms of put activity, the highest put writing was seen at a strike price of 21,250, where 15,464 open interest was added today, followed by a 21,100 strike price where 18,067 open interest was added (near trade). Highest total put open interest 1,31,872 stood at a strike price of 21,500. This is followed by a strike price of 21,400, which saw a total put option open interest of 81,415 contracts.

The Nifty 50 put call ratio (PCR) closed at 1.04 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 20 stands at 21,600.

Top five call and put open interest with their strike price

Disclaimer: The article is for informational purposes only and not investment advice.