Options data points to strong resistance level

Hans India

07-07-2025

Dasari Sreenivasa Rao
Theresistance level remained at 26,500CE for the second consecutive week, while the support level fell by 1,000 points to 24,500PE as per the latest options data on NSE after the last Friday session. Rising Implied Volatility (IV) on both the Call and Put sides indicates greater price fluctuations for the week ahead. The 26,500CE has highest Call OI base followed by 26,000/27,400/ 27,000/ 26,300/ 25,400/ 26,300/ 25,800 strikes, while 27,400/ 27,00/ 26,600/ 26,500/ 26,300 strikes recorded reasonable addition of Call OI. No major OI falls on the Call side.
Coming to the Put options, maximum Put OI is seen at 24,500PE followed by 25,000/ 25,200/ 25,500/ 24,700/ 24,400/ 24,200 strikes. Further, 25,200/ 25,400/ 25,350/ 24500/ 25,100/ 24,000/22,950 strikes witnessed moderate build-up of Put OI. Only a few Put ITM strikes in the 25,500-25,700 range held marginal Put OI fall.
Dhirender Singh Bisht, associate vice-president (technical research-equity) at SMC Global Securities Ltd, said: 'In the derivatives market, prominent Call Open Interest for Nifty seen at the 25,500 and 25,700 strike, while the notable Put OI was at the 25,000 and 25,400 strike. Implied Volatility for Nifty's Call options settled at 11.67 per cent, while Put options concluded at 12.27 per cent.' Nifty began July F&O series with a five month high OI of 1.44 crore shares, which is a positive sign. The rollover to July series was better than the 3-month average suggesting positive bias to stay intact, according to ICICIdrect.com. Net short positions in index futures by FIIs fell significantly during the rollover action. Put writing rose substantially and the highest Put base is visible at 24,500 strike. On the other hand, no major Call base is evident till 26,500 strike. Hence, a move below 26,500 might trigger some intermediate profit booking. Overall sentiment remains moderate bullish bias.
'Last week, the market remained cautious due to uncertainty around the India–US trade deal, which kept trading largely range-bound. Both Nifty and Bank Nifty ended the week with small losses of about 0.70 per cent. On the sector front, consumer durables, healthcare, and pharma stocks saw some gains, while real estate, financial services, and private banks ended in the red,' added Bisht. For the week ended July 5, 2025, BSE Sensex closed at 83,432.89 points, a fall of 626.01 points or 0.74 per cent, from the previous week's (June 27) closing of 84,058.90 points. NSE Nifty too declined by 176.8 points or 0.68 per cent to 25,461 points from 25,637.80 points a week ago.
Bisht forecasts: 'Nifty spot has support around 25,200 level. If it slips below that, it could head toward 24,800. On the upside, it may face resistance near 25,800. Traders are advised to keep a close watch on rollover levels for the broader indices. As long as the indices stay above these levels, the market is likely to remain in a 'buy on dips' mode. Nifty futures saw a rollover around 25,200–25,300, while for Bank Nifty, it was in the 56,600–56,700 range.'
India VIX fell 0.57% to 12.32 level. India VIX closed at its lowest level since March 2025, reflecting improving market stability and growing investor confidence.
Bank Nifty
Bank Nifty NSE's banking index closed the week at 57,031.90 points, a hefty gain of 779.05 or 0.13 per cent from the previous week's closing of 56,252.85 points. 'For Bank Nifty, the prominent Call Open Interest was seen at the 57,000 and 57,500 strikes, whereas notable Put Open Interest at the 56,000 strike,' remarked Bisht.