Options data holds wide-range trading

The resistance level rose by 1,500 points to 26,500CE, while the support level declined by 1,250 points to 21,850PE as per the latest data on NSE. The options data is indicating to wide-range trading for this week, opine derivatives analysts.

The 26,500CE has highest Call OI followed by 26,000/ 25,500/ 25,000/ 24,500/ 24,400/ 24,000 strikes, while 24,500/ 24,400/ 24,800/ 25,200/ 26,000/ 26,500 strikes recorded heavy build-up of Call OI. And neglible OI fall seen on select Call ITM strikes.

Coming to the Put side, maximum Put OI is at 21,850PE followed by 22,500/ 22,900/ 23,200/ 23,400/ 23,300/ 23,700/ 23,000/ 24,100 strikes. Further, 23,700/ 23,300/ 23,200/ 22,500/ 22,350 strikes witnessed moderate addition of Put OI. Only 2 Put OTM strikes- 22,200/22,000- and one ITM strike 24,400 clocked miniscule OI fall.

Dhirender Singh Bisht, associate vice-president (technical research) at SMC Global Securities Ltd, said: “In the derivatives market, the highest Call Open Interest for Nifty seen at the 24,500 and 24,200 strikes, while the notable Put Open Interest was at the 24,000 and 23,700 strikes.”

“Most sectorial indices closed in the green, with the consumer durable, financial services, and auto sectors emerging as the top gainers for the week. Conversely, the realty and banking sectors were the main laggards,” added Bisht. BSE Sensex closed the week ended January 3, 2025, at 79,223.11 a modest recovery of 524.04 points or 0.66 per cent, from the previous week’s (December 27, 2024) closing of 78,699.07, points. During the week, NSE Nifty too inched up by 191.35 points or 0.80 per cent to 24,004.75 points from 23,813.40 points a week ago.

Bisht forecasts: “From a technical perspective, the Nifty continues to trade below the 100EMA, after facing resistance at this level. Similarly, the Bank Nifty also encountered resistance at its 100EMA and saw a correction. For the Nifty, support is anticipated around 23,700, while resistance is expected at 24,400.” Nifty OI in futures segment rose marginally since the beginning of the December F&O series. The futures OI rose from over 1.07 crore shares to nearly 1.17 crore shares. It’s pointing to a moderate build-up of short positions. A breakout beyond 24,500 could trigger fresh direction on the upside, potentially driving the index toward the 25,000 level in subsequent sessions, according to ICICIdirect.com.