How Option Chain Signals Hint at Mild Bullishness in Nifty?
About the Latest Option Chain Trends
The latest Option Chain Analysis for 7 November 2025 highlights a key open interest build-up at 26,000 Call and 25,300 Put strike levels. Higher Put writing activity compared to Calls reflects a mildly bullish bias in trader positioning.
The Volume Weighted Average Price (VWAP) projects a likely trading range between 25,325 and 25,585 for the next session. The Max Pain level stands at 25,500, indicating an expiry zone with limited volatility.
Option Chain Metrics Snapshot
| Parameter | Value |
|---|---|
| Highest Call OI | 26,000 CE |
| Highest Put OI | 25,300 PE |
| Put-Call Ratio (PCR) | 0.88 |
| Max Pain | 25,500 |
| VWAP Range | 25,325 – 25,585 |
This setup points to a mildly upward bias with support near 25,300 and resistance around 25,600–25,650.
Market Recap and Institutional Trends
- 📊 Index Movement: Nifty opened weak and slipped to 25,320 before recovering to end nearly flat (-0.07%).
- 📈 Top Performing Sectors: Metal and PSU Bank.
- 📉 Underperformers: Consumer Durables and IT.
- 💰 FII Flow: Net buying worth ₹4,581.34 crore.
- 💰 DII Flow: Net buying worth ₹6,674.77 crore.
The sustained buying from both domestic and foreign institutions adds strength to the market’s foundation ahead of key expiry dates.
Derivatives Sentiment Outlook
- 📈 Increased Put writing suggests traders expect limited downside.
- 📊 Support is visible around 25,300–25,350 zone.
- 📉 Resistance remains at 25,600–25,650 zone.
- 📌 Max Pain at 25,500 reflects market balance before expiry.
Overall, the derivatives data hints at a range-bound yet optimistic phase driven by defensive sector strength and institutional inflows.
If you’re following market structure through options data, you may also like to review tactical ideas shared under 👉 Nifty Tip | BankNifty Tip.
Investor Takeaway
The current derivatives setup suggests a cautiously bullish structure with strong support around 25,300 and sectoral rotation favoring metals and PSU banks. Traders should maintain disciplined position sizing and focus on risk-managed long setups. Stay tuned for more actionable derivatives insights at Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
Related Queries on Nifty Derivatives
- How Does Put-Call Ratio Influence Market Sentiment?
- What Is Max Pain Theory in Options Trading?
- Why Is VWAP Crucial for Intraday Range Estimation?
SEBI Disclaimer: The information presented is for educational purposes only and should not be considered as investment advice. Investors must perform due diligence and consult a SEBI-registered advisor before taking trading positions.
