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

Highest put option open interest contract was added at a strike price of 16000 for expiry on May 26.

Bulls took charge of the market today and Sensex increased by 1,534 points while Nifty 50 crosses 16,250.  Nifty 50 closed in green with a gain of 456.75 points. It opened at 16043.80 against the previous close of 15809.40, which means a gap up of 234.40 points.  In today’s trade, the best performing index was NIFTY MEDIA, which was up by 4.47 per cent. This is followed by NIFTY REALTY, which was up by 4.21 per cent. Nifty VIX closed at 23.1 with a cut of 5.93 per cent. 

 
Activity on the F&O front for weekly expiry on May 26 shows 17000 to act as a strong resistance now. Highest call open interest contract of 156358 stood at this strike price. The second-highest call option open interest 97337 for Nifty 50 stood at a strike price of 16300. In terms of the highest addition of open interest in the call options front, it was at 16300 in the last trading session. A total of 42707 open interest was added at this strike price. 

 
In terms of put activity, the highest put writing was seen at a strike price of 16000, where 80327 open interest was added today, followed by 16100 strike price where (50446) open interest was added. Highest total put open interest (158841) stood at a strike price of 16000. This is followed by a strike price of 15800, which saw a total put option open interest of 111699 contracts. 

 
The Nifty 50 put call ratio (PCR) closed at 1.02 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 May 26 stands at 16200. 

 
Top five call and put open interest with their strike price