Market watch: What does the F&O market suggest about trade on February 15?

The Nifty 50 put call ratio (PCR) closed at 0.47 for the day.

The Indian equity market saw a deep fall for the second day in a row. In the last two days, Nifty 50 fell by almost 800 points and is on verge of a correction. It is down by nine per cent from its recent peak. Last time Nifty saw such a fall was in April 2021. Nifty 50 fell by 3.06 per cent and closed below the 17000 level. Geo-political risks over Ukraine and Russia led to a surge in crude oil prices and its impact was visible across global equity markets. Nifty VIX surged 23.01 per cent and closed at 22.98. 

Activity on the F&O front for weekly expiry on February 17 shows 17500 to act as a strong resistance now. Highest open interest contract of 150891 stood at this strike price. The second-highest call option open interest 108046 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 17500 in the last trading session. A total of 77339 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 23648 open interest was added today, followed by 15100 where (20047) open interest was added. Highest total put open interest (79244) stood at a strike price of 16000. This is followed by a strike price of 16500, which saw a total put option open interest of 62277 contracts. 

The Nifty 50 put call ratio (PCR) closed at 0.47 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 stands at 17000.

Top five call and put open interest with their strike price