Varied options data signals mixed trading this week

The 25,000CE has highest Call OI followed by 26,000/ 25,500/24,900/ 24,700/ 25,050/ 25,600/ 25,150/ 25,400/25,700 strikes, while 24,800/24,700/ 24,850/ 24,900/ 24,650 / 24,950 strikes recorded hefty build-up of Call OI. From 25,050CE onwards, several Call OTM strikes suffered OI fall.

Coming to the Put side, maximum Put OI is seen at 24,600PE followed by 24,000/ 24,700/ 24,200/ 24,800/ 24,200/ 25,000/ 23,900 strikes. Further, 24,650/24,600/ 24,500/ 24,400/ 24,150 strikes witnessed moderate addition of Put OI. Put ITM strikes from 24,750 inwards hold moderate to heavy decline in Put OI.

Dhirender Singh Bisht, associate vice-president (technical research-equity) at SMC Global Securities Ltd, said: “In the derivatives segment, the highest Call Open Interest for the Nifty was observed at the 25,000 and 24,800 strike levels, while notable Put Open Interest stood at the 24,500 strike. For the Bank Nifty, significant Call Open Interest was concentrated at the 55,000 strike, with substantial Put Open Interest seen at the 54,000 strike.”

Continued Call writing at OTM strikes may keep the upsides limited for monthly expiry on September 30 (Tue). Any short covering move is likely if Nifty moves above 25,400 level. On an immediate basis, 24800 is likely to act as key support.

“Indian equity markets came under broad-based pressure following the recent hike in H1-B visa fees and fresh concerns over 100 per cent tariff imposition on pharmaceutical companies. The impact was visible across sectors, with benchmark indices extending losses.

On the weekly charts, the Nifty declined by more than 2.5 per cent, while the Bank Nifty slipped close to two per cent. On the sectoral front, major laggards included IT, Realty, and Midcap indices, while none of the sectors managed to close in the green,” added Bisht.

For the week ended September 26, 2025, BSE Sensex closed at 80,426.46 points, a net fall of 2,199.77 points or 2.66 per cent, from the previous week’s (September 19) closing of 82,626.23 points. NSE Nifty too declined by 672.35 points or 2.65 per cent to 24,654.70 points from 25,327.05 points a week ago.

Bisht forecasts: “On the daily chart, the Nifty slipped below the psychological level of 25,000 as well as the crucial support of the 100-day exponential moving average. The next key support lies near the 200-day EMA around 24,400, while resistance at 25,000 mark.

Market participants are advised to closely monitor Nifty’s movement at these levels. If the index continues to trade below these averages, it may support a bearish outlook, making a ‘sell-on-rise’ strategy more favorable for traders.”

Considering pause in FIIs selling and ongoing short covering, analysts expect that the fall may be limited. However, some recovery seen from the lows in the September series so far, some retracement shouldn’t be ruled out. Hence, 24800 level may act as major support, according to ICICIdirect.com.

The fall in Nifty futures OI last week is indicating ongoing short covering. However, there are still significant short positions and till Nifty is holding itself above 24,800 level, major weakness is not expected in the headline index.

India VIX rose 5.96 per cent to 11.42 level. “Implied Volatility for Nifty’s Call options settled at 9.91 per cent, while Put options concluded at 10.78 per cent. The India VIX, a key indicator of market volatility, concluded the week at 10.78 per cent. The Put-Call Ratio of Open Interest stood at 0.57 for the week,” remarked Bisht.

Bank Nifty

Bank Nifty NSE’s banking index closed the week at 54,389.35 points, a 1,069.50 or 1.92 per cent lower from the previous week’s closing of 55,458.85 points.