IGI Logo

Below the Quote on F&O Expiry by Mr. Chandan Taparia, Head, Equity Derivatives & Technicals, Wealth Management, MOFSL

This week was completely dominated by the bears. From Monday itself, nifty turned bearish as it breached the important support zone of 23900–23850. Nifty dropped nearly 2% on Monday setting a bearish tone for the week. Following this, the index traded within a 300-point range experiencing volatile swings both the side in the last three trading sessions. Nifty is maintaining a sell on bounce trend, with every minor recovery being met with selling. On the weekly chart, the index formed an inside bar while the daily chart shows a lower high structure for the last four sessions suggesting further weakness.

The FIIs long-short ratio is stable near 19% from last four trading session which shows selling pressure at higher zone along with buying near support zone. Based on the current price structure as long as Nifty trades below the 23800 zone index can witness down move towards 23333 zone.

On option front, Maximum Call OI is at 24500 then 24000 strike while Maximum Put OI is at 22500 then 23000 strike. Call writing is seen at 23600 then 23800 strike while Put writing is seen at 23600 then 23000 strike. Option data suggests a broader trading range in between 23000 to 24000 zones while an immediate range between 23300 to 23800 levels.

Above views are of the author and not of the website kindly read disclaimer