F&O Cues: Key support & resistance levels for Nifty 50

Highest put option open interest contract was added at a strike price of 17000 for expiry on March 3.

After a gap of seven days Nifty 50 finally closed in green. It opened with a gap up of 267.7 points in today's trade and continued to build on that. In the end, Nifty 50 closed above 16600 at 16658.4 with a gain of 410.4 points or 2.53%. Metal and Realty names were the top gainers in today’s trade. India remained the best-performing equity index in Asia and though European markets are trading in green currently, they have gained lower than the Nifty 50. However, Nifty 50 lost 3.58% in the week.

Activity on the F&O front for weekly expiry on March 3 shows lower volumes and not much activity. Highest open interest contract of 21113 for Nifty 50 stood at a strike price of 18000. The second-highest call option open interest 19873 for Nifty 50 stood at a strike price of 17200. In terms of the highest addition of open interest in the call options front, it was at 17200 in the last trading session. A total of 11897 open interest was added at this strike price.

In terms of put activity, the highest put writing was seen at a strike price of 17000, where 15486 open interest was added today, followed by 17200 where (8989) open interest was added. Highest total put open interest (27088) stood at a strike price of 17000. This is followed by a strike price of 16500, which saw a total put option open interest of 15691 contracts.

The Nifty 50 put call ratio (PCR) closed at 0.79 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 for weekly expiry on March 3 stands at 17150.

Top five call and put open interest with their strike price

Strike Price  

Open Interest (Call)  

18000  

21113  

17200  

19873  

17500  

19020  

17300  

15599  

17900  

13220  

Strike Price  

Open Interest (Put)  

17000  

27088  

16500  

15691  

16000  

15010  

17100  

13050  

17200  

12426