Nifty 50 Pre-Open OI Data Analysis February 17, 2025
Post Market Analysis – February 14, 2025
The Nifty 50 continued its downward trajectory for the eighth consecutive session, closing at a new low of 2025 on February 14, down by 102 points amid heightened volatility. The persistent selling pressure weighed heavily on investor sentiment, leading to significant losses. The index failed to sustain any intraday recovery attempts, reflecting strong bearish undertones.
Technical indicators remained weak, with the Nifty sustaining below all key moving averages, including the 10-day, 20-day, 50-day, 100-day, and 200-day EMAs. The formation of a bearish candlestick pattern with a lower shadow on the daily charts and a long bearish candlestick on the weekly scale further signified market weakness.
Technical Setup & Market Sentiments
- Bearish Structure: The Nifty 50 has formed a lower top-lower bottom structure, reinforcing the prevailing downtrend.
- Momentum Indicators: A negative bias in momentum indicators such as RSI and MACD suggests a lack of buying strength.
- Bollinger Bands: The index is currently trading below the lower Bollinger Band, highlighting the increased downside pressure.
- Put-Call Ratio (PCR): The PCR dropped to 0.77 from 0.9 in the previous session, indicating an increase in bearish sentiment.
- India VIX: The volatility index surged to 15.02, up 0.4%, adding further uncertainty to the market outlook.
Pre-Open Open Interest (OI) Data – February 17, 2025
Call Side Analysis:
- 24,000 Strike: Maximum Call OI (1.07 crore contracts) – key resistance level.
- 23,300 Strike: 74.5 lakh contracts – strong resistance.
- 23,500 Strike: 62.78 lakh contracts – significant resistance.
- Maximum Call Writing: Observed at 23,300 strike (50.38 lakh contracts), followed by 23,900 (38.4 lakh contracts) and 23,800 (31.32 lakh contracts).
- Maximum Call Unwinding: Seen at 23,400 strike (3.72 lakh contracts).
Put Side Analysis:
- 22,000 Strike: Maximum Put OI (75.14 lakh contracts) – key support level.
- 22,500 Strike: 66.17 lakh contracts – crucial support.
- 22,400 Strike: 36.74 lakh contracts – additional support.
- Maximum Put Writing: Seen at 22,500 strike (33.89 lakh contracts), followed by 22,100 (19.32 lakh contracts) and 22,800 (12.3 lakh contracts).
- Maximum Put Unwinding: Seen at 23,100 strike (1 lakh contracts), followed by 23,500 and 23,200 strikes.
Market Spread, Resistance, and Support Levels
Resistance Levels:
- Based on Pivot Points: 23,083, 23,168, 23,305
- OI-Based Resistance: 23,300, 23,400, 24,000
Support Levels:
- Based on Pivot Points: 22,809, 22,724, 22,587
- OI-Based Support: 22,500, 22,400, 22,000
Conclusion and Recommendations
- Market Outlook: The Nifty remains under selling pressure, and its ability to hold above the 23,000 mark will be crucial for any potential recovery. Failure to do so may push the index towards 22,750 and 22,600.
- Short-Term View: The current market structure suggests further downside, with minor relief rallies likely to face resistance at higher levels.
- Trading Strategy:
- For Traders: Consider selling on rallies near resistance zones, keeping strict stop-loss levels.
- For Investors: Wait for signs of stability before entering new long positions.
- Key Watchpoints:
- The sustainability of any rebound attempt.
- India VIX movement for volatility assessment.
- OI shifts in key strike prices for directional bias.
Disclaimer
The analysis provided in this report is for educational and informational purposes only. It should not be considered as financial advice. Traders and investors should conduct their own research and consult with a qualified financial advisor before making any investment decisions.
Prepared by: Dr. A.K. Tyagi
Nifty Option Trader & Option Chain Analyst
Nifty 50 Pre-Open OI Data Analysis – February 18, 2025
Post-Market Analysis – February 17, 2025
The Nifty 50 managed to snap an eight-day losing streak by closing with a 30-point gain at 22,930, following a smart recovery of over 200 points from the day’s low of 22,700. The index found support at 22,700, a crucial level that held firm, leading to a minor bullish candlestick formation on the daily charts. However, the overall trend remains bearish, indicated by a persistent lower top-lower bottom structure.
Key technical indicators reinforce this cautious stance:
- Relative Strength Index (RSI): At 39, suggesting weak momentum.
- Moving Averages: Nifty remains below all key EMAs (10, 20, 50, 100, and 200-day), signaling a bearish undertone.
- MACD: Displays a negative crossover below the zero line, further confirming weakness.
- India VIX: Increased by 4.71% to 15.72, reflecting heightened volatility and uncertainty.
If the recovery sustains and crosses the psychological 23,000 mark, immediate resistance is expected at 23,150-23,300. However, failure to hold above 23,000 could lead to further consolidation, with key support levels at 22,700 and 22,500.
Technical Setup
Resistance Based on Pivot Points: 22,981, 23,040, 23,135
Support Based on Pivot Points: 22,791, 22,733, 22,638
A special technical formation was observed, with Nifty hitting the lower Bollinger Band and forming a bullish candlestick. Despite this, the lower high-lower low pattern remains intact, reinforcing a negative market structure.
Market Sentiments & Pre-Open OI Data Analysis (February 18, 2025)
The Nifty Put-Call Ratio (PCR) increased to 0.87 from 0.77, signaling a shift towards a bullish sentiment. A PCR above 0.7 generally suggests higher Put selling, indicating market strength, whereas a drop below 0.7 would confirm bearish pressure.
Options Data Analysis:
- Maximum Call OI: 24,000 strike (1.17 crore contracts) – Strong resistance
- High Call Writing: 23,700 strike (20.67 lakh contracts), followed by 23,600 and 23,500 strikes
- Maximum Put OI: 22,000 strike (1.02 crore contracts) – Strong support
- High Put Writing: 22,600 strike (33.6 lakh contracts), followed by 22,000 and 22,250 strikes
A crucial observation is the aggressive writing at 22,600 and 22,000 Puts, indicating strong support at these levels. Conversely, strong Call writing at 23,700 and 23,500 suggests upside resistance.
Spread, Resistance, and Support Based on OI Data
Key Resistance Levels:
- 23,500 (Call OI: 74.8 lakh contracts)
- 23,300 (Call OI: 74.16 lakh contracts)
- 23,700 (Maximum Call Writing: 20.67 lakh contracts)
Key Support Levels:
- 22,700 (Confirmed by price action)
- 22,600 (Maximum Put Writing: 33.6 lakh contracts)
- 22,500 (Put OI: 61.18 lakh contracts)
- 22,000 (Maximum Put OI: 1.02 crore contracts)
Possible Trade Setup – Call & Put Buying Strategy
Bullish Trade (If Nifty Breaks 23,000 and Sustains Above 23,150)
- Buy 23,200 Call Option with a target of 23,500
- Stop-loss at 23,050
Bearish Trade (If Nifty Fails to Hold 23,000 and Drops Below 22,700)
- Buy 22,600 Put Option with a target of 22,300
- Stop-loss at 22,850
Conclusion & Suggestions
- The Nifty 50 shows signs of a short-term recovery, but overall bearish sentiment remains dominant.
- A break above 23,000 could lead to further upside towards 23,300-23,500.
- Failure to sustain above 23,000 may trigger fresh selling pressure, dragging Nifty towards 22,700 and 22,500.
- Traders should monitor key support/resistance levels and India VIX for volatility indications.
- Conservative traders should wait for confirmation before taking directional trades, while aggressive traders can position for quick scalps based on intraday movements.
Disclaimer
This report is for educational and informational purposes only. Trading in financial markets involves risk, and past performance is not indicative of future results. Investors and traders should conduct their own due diligence or consult a financial advisor before making investment decisions.
NIFTY 50 PRE-OPEN OI DATA ANALYSIS – FEBRUARY 19, 2025
1. Post-Market Analysis – February 18, 2025
The Nifty 50 experienced a rangebound trading session on February 18, closing 14 points lower at 22,862 after fluctuating within a 191-point range. The market lacked significant triggers, leading to subdued movement. Despite weakness in the overall structure, buying interest was evident at lower levels, with the index taking strong support at 22,800 while facing resistance near 23,000.
From a technical perspective, the index formed a bearish candlestick with a long lower shadow, resembling a Dragonfly Doji-like pattern (though not a classical one). This formation suggests a potential bullish reversal; however, confirmation is required in the following session. Notably, the Nifty remains below all key moving averages (10, 20, 50, 100, and 200-day EMAs), indicating a bearish bias. Volatility remained elevated, although India VIX declined slightly by 0.37% to 15.67.
Key support and resistance levels based on pivot points:
- Resistance: 22,986, 23,031, and 23,104
- Support: 22,840, 22,795, and 22,722
2. Technical Setup and Market Sentiments
- Resistance Zone: The Nifty 50 faces significant resistance at 23,000. A sustained move above this level could see the index testing 23,200 (20-day EMA) and potentially 23,500 (50-day EMA).
- Support Levels: On the downside, a decisive break below 22,800 could push the index towards 22,600, near the trendline support.
- Moving Averages: The Nifty remains below all key EMAs, reinforcing the bearish sentiment.
- India VIX: Volatility eased slightly but remained elevated, keeping traders cautious.
- Put-Call Ratio (PCR): The PCR declined to 0.84 from 0.87, indicating a slight increase in bearish sentiment as traders favored selling Calls over Puts.
3. Pre-Open OI Data Analysis – February 19, 2025
Call Open Interest (OI) Analysis:
- Maximum Call OI: 23,500 strike (92.46 lakh contracts), followed by 23,800 (90.9 lakh) and 24,000 (87.69 lakh), suggesting these levels may act as resistance.
- Call Writing: Maximum addition was seen at the 23,200 strike (32.98 lakh contracts), followed by 23,800 (30.96 lakh) and 23,000 (18.27 lakh), reinforcing resistance at higher levels.
- Call Unwinding: The 24,000 strike witnessed the highest unwinding (30.16 lakh contracts), followed by 23,900 (17.76 lakh) and 23,300 (9.53 lakh), indicating reduced bearish bets at these levels.
Put Open Interest (OI) Analysis:
- Maximum Put OI: 22,000 strike (84.81 lakh contracts), followed by 22,500 (61.44 lakh) and 22,700 (60.51 lakh), marking these as strong support levels.
- Put Writing: Maximum addition at 22,700 (23.39 lakh contracts), 22,200 (19.9 lakh), and 22,450 (19.45 lakh), suggesting firm support in this range.
- Put Unwinding: The 22,000 strike saw the highest unwinding (17.79 lakh contracts), followed by 22,600 (9.35 lakh) and 22,300 (2.53 lakh), signaling a shift in trader positioning.
4. Market Spread Analysis
The narrowing spread between Call and Put OI at critical strikes suggests a potential breakout scenario. With strong Put OI buildup at 22,700 and 22,500, bulls may attempt a recovery, provided the index holds above 22,800. Conversely, high Call OI at 23,500 indicates a significant hurdle for any rally.
5. Resistance and Support Levels for February 19
| Level | Support | Resistance |
| S1 | 22,840 | 22,986 |
| S2 | 22,795 | 23,031 |
| S3 | 22,722 | 23,104 |
| Major Support | 22,600 | 23,500 |
6. Conclusion and Recommendations
- The Nifty 50 remains in a weak technical structure, trading below key moving averages.
- Critical levels to watch: 22,800 as support and 23,000 as resistance. A breakout on either side will determine further direction.
- Bullish scenario: A decisive close above 23,000 could lead to 23,200 and 23,500 in the short term.
- Bearish scenario: A break below 22,800 may push the index towards 22,600.
- Volatility remains a concern, and traders should monitor India VIX for any further spikes.
- Options traders should focus on 22,700–22,800 as key support zones and 23,200–23,500 as resistance zones for the short term.
7. Disclaimer
This report is for educational and informational purposes only. It is not intended as investment advice or a recommendation to buy/sell securities. Traders and investors should conduct their own research and consult a financial professional before making any trading decisions. Past performance does not guarantee future results.
Prepared by: Dr. A.K. Tyagi
Option Chain Analyst & Nifty Trader
Pre-Open OI Data Analysis Report – February 20
Technical Setup & Market Sentiment
The Nifty 50 experienced a volatile session on February 19, where bulls initially pushed the index above 23,000, only to be overpowered by bears, leading to a marginal loss by the session close. Despite a rangebound movement, the index continued its higher highs-higher lows formation on the daily chart. However, the overall sentiment remains bearish, as the index is trading below all key moving averages (10, 20, 50, 100, and 200-day EMAs). The presence of a bullish candle with an upper shadow signals selling pressure at higher levels.
Key support remains at 22,800-22,700, while resistance levels are placed at 23,200-23,500 (aligned with the 20-day and 50-day EMAs). The Nifty is likely to face consolidation below 23,000, while a breakout above this level could push the index towards 23,200-23,500.
Pre-Open OI Data Analysis – February 20
Resistance & Support Based on Pivot Points:
Resistance Levels: 23,022, 23,078, 23,168
Support Levels: 22,843, 22,787, 22,697
Call Option Data Analysis:
Maximum Call OI: 23,500 strike (1.15 crore contracts) – Key resistance level
Other significant Call OI levels: 23,100 (92.39 lakh contracts) and 23,400 (80.58 lakh contracts)
Maximum Call Writing:
23,100 strike – Addition of 38.43 lakh contracts
23,400 strike – Addition of 23.99 lakh contracts
23,500 strike – Addition of 23.02 lakh contracts
Call Unwinding:
23,800 strike – Shedding of 25.82 lakh contracts
24,000 strike – Shedding of 15.47 lakh contracts
23,700 strike – Shedding of 15.09 lakh contracts
Put Option Data Analysis:
Maximum Put OI: 22,500 strike (81.02 lakh contracts) – Key support level
Other significant Put OI levels: 22,000 (80.43 lakh contracts) and 22,800 (69.91 lakh contracts)
Maximum Put Writing:
22,800 strike – Addition of 21.16 lakh contracts
22,500 strike – Addition of 19.58 lakh contracts
22,100 strike – Addition of 16.82 lakh contracts
Put Unwinding:
21,900 strike – Shedding of 23.93 lakh contracts
22,700 strike – Shedding of 18.33 lakh contracts
22,200 strike – Shedding of 18.12 lakh contracts
Market Spread & Volatility
The Nifty Put-Call Ratio (PCR) declined to 0.80 from 0.84 in the previous session, indicating a bearish sentiment as more Call options are being sold relative to Puts.
The India VIX (Volatility Index) dropped by 1.56% to 15.42, but remains above key moving averages, indicating cautious sentiment among traders.
Conclusion & Recommendations
Short-term Trend: The market remains rangebound with a bearish bias, despite the higher highs-higher lows pattern.
Key Levels to Watch:
Resistance: 23,000, 23,200, 23,500 (Crucial supply zones)
Support: 22,800, 22,700, 22,500 (Strong demand zones)
Trading Strategy:
A move above 23,000 could lead to a short-covering rally toward 23,200-23,500.
A breakdown below 22,800 may accelerate selling pressure, dragging the index toward 22,500-22,400.
Option traders can consider selling Call options above 23,500 and Put options below 22,500 for limited risk exposure.
Disclaimer:
This report is for informational purposes only and should not be considered as financial advice. Traders should perform their own analysis and consult with a professional before making any investment decisions.
Nifty 50 Pre-Open OI Data Analysis – February 21, 2025
1. Post-Market Analysis (February 20, 2025)
The Nifty 50 continued its consolidation phase for the fourth consecutive session, ending the day 20 points lower at 22,850 after briefly touching a new low of 20,025. Despite this minor decline, the index successfully defended the 22,800 level on a closing basis. The day’s candlestick formation was bullish, with no upper or lower wicks, indicating strong buying interest at lower levels.
The index faces immediate resistance around the 23,000 mark. A breakout above this level could pave the way toward 23,200, aligning with the 20-day EMA and the 61.8% Fibonacci retracement from the June 2024 low to the September high. However, if Nifty sustains below 23,000, the ongoing consolidation may continue, with critical support resting at 22,700.
Resistance Levels (Pivot Points):
- First Resistance: 22,926
- Second Resistance: 22,952
- Third Resistance: 22,994
Support Levels (Pivot Points):
- First Support: 22,841
- Second Support: 22,815
- Third Support: 22,772
2. Technical Setup
The technical charts highlighted a bullish candlestick pattern supported by a strong recovery from intraday lows. However, the overall trend remains under bearish control, with Nifty trading below key moving averages and momentum indicators displaying a negative bias. The formation signals potential short-term strength, but bears retain dominance until a decisive close above key resistance levels.
3. Market Sentiments
The Put-Call Ratio (PCR) rose to 0.9 from 0.80 in the previous session, indicating strengthening bullish sentiment. A PCR above 0.7 typically reflects increased Put selling relative to Call selling, signaling bullish market sentiment. Additionally, the India VIX continued its downtrend, closing 4.78% lower at 14.68, providing comfort for bullish traders by suggesting reduced market volatility.
4. Pre-Open OI Data Analysis (February 21, 2025)
Call Open Interest (OI):
- 23,500 strike: 92.59 lakh contracts (Key resistance level)
- 24,000 strike: 92.41 lakh contracts
- 23,000 strike: 74.05 lakh contracts
Put Open Interest (OI):
- 22,000 strike: 87.6 lakh contracts (Key support level)
- 23,000 strike: 62.59 lakh contracts
- 22,500 strike: 55.01 lakh contracts
Major Call Writing:
- 23,500 strike: +24.83 lakh contracts
- 23,000 strike: +18.59 lakh contracts
- 24,000 strike: +16.58 lakh contracts
Major Put Writing:
- 22,300 strike: +34.33 lakh contracts
- 22,000 strike: +28.56 lakh contracts
- 22,200 strike: +12.94 lakh contracts
5. Market Spread
The overall market spread indicates tight trading ranges between 22,700 and 23,200. Resistance from Call writers at 23,500 is significant, suggesting difficulty for Nifty to breach this level in the near term. Meanwhile, strong Put writing at 22,300 and 22,000 signals robust support, limiting downside risks.
6. Conclusion and Recommendations
- A decisive close above 23,000 could push Nifty toward 23,200 in the near term.
- Traders should monitor the 22,700 support level; a break below could signal deeper consolidation.
- Short-term bullish momentum is expected if the India VIX continues to trend lower.
Trading Strategy:
- Bullish Bias: Buy on dips near 22,800 with a target of 23,200 and a stop-loss at 22,700.
- Bearish Bias: Sell near 23,200 with a target of 22,800 and a stop-loss at 23,300.
7. Disclaimer
This report is for informational purposes only and does not constitute financial advice. Trading in stock markets involves risk, and investors should consult their financial advisors before making investment decisions. The author will not be liable for any losses incurred from the use of this information.