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

This week nifty traded in a narrow range of 300 points, showing no clear direction. For the last three days index struggled near the 23870 level on the upside while finding support around 23600 on the downside. This tug of war between bulls and bears led to the formation of multiple Doji candles and inside bars on the daily chart indicating indecision. Nifty is hovering near its 200-day EMA and trading below its short-term moving averages as well. On the weekly chart, the index has formed a Doji candle indicating support-based buying, but with limited upside potential.

FII selling pressure has been significant as reflected by a decline in the Long-Short ratio which has dropped to 23%. Based on the current price structure as long as Nifty trades above the 24500 zone index can witness some swings towards 23900-24000 zone.

On option front, Maximum Call OI is at 24000 then 25000 strike while Maximum Put OI is at 23800 then 23000 strike. Call writing is seen at 23800 then 24000 strike while Put writing is seen at 23800 then 23000  strike. Option data suggests a broader trading range in between 23200 to 24200 zones while an immediate range between 23500 to 23900 levels.

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