Nifty slips below key levels as FII selling intensifies: What option chain signals for tomorrow?
Nifty witnessed a volatile session on October 8, 2026. After opening weak, the index recovered from intraday lows near 22,580 but faced strong selling pressure around the 22,700 zone. Despite a late recovery attempt, Nifty ended the session down 0.76%, reflecting cautious market sentiment.
Option chain highlights
- Highest Call Open Interest: 23,000 Strike
- Highest Put Open Interest: 22,600 Strike
- Put-Call Ratio (PCR): 0.81
- Max Pain: 22,650
- VWAP Trading Range: 22,460 – 22,765
The option chain indicates that writers remain more aggressive on the Call side than the Put side. A PCR reading of 0.81 suggests a cautious to mildly bearish market structure. The 23,000 strike continues to act as a strong resistance zone, while 22,600 remains the immediate support area being defended by Put writers.
Get Daily Nifty Trading Levels
Institutional activity remains mixed
Foreign Institutional Investors (FIIs) remained aggressive sellers and sold equities worth approximately ₹6,121 crore. Domestic Institutional Investors (DIIs) partially offset this pressure with purchases worth around ₹4,597 crore.
In the derivatives segment, FIIs reduced Nifty futures exposure by 8,325 contracts, reflecting caution on the benchmark index. However, Bank Nifty futures saw fresh additions of 3,945 contracts, indicating selective optimism in banking stocks.
Sector performance
- PSU Banks
- Media
- Metal
- Realty
The relative strength in PSU banking stocks helped limit broader market weakness. However, heavy selling in metal and real estate counters kept overall sentiment under pressure.
Key levels to watch
For the next trading session, traders should closely monitor the VWAP range between 22,460 and 22,765. Sustained movement above the upper band may trigger short covering, while a break below the lower band could increase downside pressure.
The 22,600 Put strike remains the most important support zone. On the upside, the 23,000 Call strike continues to be a major hurdle and may cap gains unless strong buying emerges.
Indian-Share-Tips.com Nifty Expert Gulshan Khera, CFP®, who is also a SEBI Regd Investment Adviser, observes that continued FII selling, a PCR below 1.0, and strong Call writing near 23,000 indicate a cautious market setup. Traders should remain stock-specific and watch whether Nifty can hold above the 22,600 support zone in the coming session.
Get Daily Bank Nifty Trading Guidance
Written by Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
SEBI Disclaimer: Investments in securities markets are subject to market risks. Read all related documents carefully before investing. The views expressed are for educational and informational purposes only and should not be construed as investment advice or a recommendation to buy or sell any security.
Read Free content at Indian-Share-Tips.com, which is a SEBI Registered Advisory Services.
