Nifty formed doji candle which indicates indecisiveness in the market. Even though rest of the world market bleeds today only Indian markets were closed on the higher levels. India VIX closed at 15.16 level fell by 1.64% during the day. 8 sectors out of 11 closed on higher side and 3 closed in red during the session.
Maximum Call open interest (OI) of 21.47 lakh contracts was seen at the 12000 strike price followed by 12100-strike price which 18.34 Lakhs. Highest call writing was seen at strike price of 12050, at which 4.10 lakh contracts traded. Call option suggest 12100 will be next hurdle. Maximum Put open interest of 25-lakh contract was seen at the 11900-Strike price followed by 11800 levels with 22.10 lakh open contracts. Highest put writing was seen at a strike price of 12000 at which total 10.39 lakh contracts traded. Put option suggest 11900 will act as a support.
Nifty50 is likely to remain in a range of 11,867.55 -12,103.05 levels. As per doji traders are still in dilemma but closing above 12100 can give more strength in the Benchmark. As per the option data there was heavy Put Writing at 11,900 and major Call writing seen at 12,100 and 12,000 are hinting for new highs early. A breach of 12,100 levels will activate more buyers.