NSE s Nifty fell 159.05 points or 0.8% to close at 19,742.35. BSE s Sensex declined 570.60 points or 0.85% to end at 66,230.24. Both indices have dropped close to 2.4% in the past three trading sessions after hitting record highs last week.
India VIX was up by 2.70% from 10.83 to 11.13 levels on Wednesday. Volatility was on the rise and comforted the bears to hit for a profit booking decline.
On the weekly options front, the maximum Call OI is placed at 19700 and then towards 19600 strikes while the maximum Put OI is placed at 19500 and then towards 19400 strikes.
“Nifty formed a dragonfly Doji sort of candle on the daily frame on Wednesday with long lower shadow indicating support-based buying and has been making higher highs from the last three sessions,” he said.
On the monthly options front, the maximum Call OI is placed at 19800 and then towards 20,000 strikes while the maximum Put OI is placed at 19700 and then towards 19600 strikes. Minor Call writing is seen at 19900 and then towards 19850 strikes while Put writing is seen at 19750 and then towards 19650 strikes.