Adani Power Sees Sharp Open Interest Surge Amid Rising Market Activity

Open Interest and Volume Dynamics

The latest data reveals that Adani Power’s open interest rose from 75,047 contracts to 85,758 contracts, an increase of 10,711 contracts or 14.27% on a single trading day. This surge in OI was accompanied by a futures volume of 37,077 contracts, indicating robust trading activity. The futures value stood at ₹34,052.45 lakhs, while the options segment exhibited an exceptionally high notional value of approximately ₹24,804.54 crores, underscoring the intense speculative interest in the stock’s derivatives.

The total traded value combining futures and options was ₹38,087.01 lakhs, reflecting strong liquidity and active participation from institutional and retail traders alike. The underlying stock price opened with a gap up of 2.66%, reaching an intraday high of ₹203.42, a 2.74% increase, and traded within a narrow range of just ₹0.20, suggesting consolidation near resistance levels.

Market Positioning and Trend Analysis

Adani Power’s recent price action indicates a potential trend reversal after two consecutive days of decline. The stock outperformed the power sector by 2.86% and the broader Sensex by 2.61% on the day, signalling renewed investor confidence. Notably, the stock’s price remains above its 200-day moving average, a key long-term support level, although it is still trading below its 5-day, 20-day, 50-day, and 100-day moving averages, indicating some short- to medium-term resistance.

Investor participation has surged markedly, with delivery volumes on 31 August reaching 3.63 crore shares, a 225.3% increase compared to the five-day average delivery volume. This spike in delivery volume suggests that investors are increasingly willing to hold the stock, reinforcing the bullish undertone in the market.

Implications of Rising Open Interest

The sharp increase in open interest typically signals fresh capital inflows and new positions being established. In the context of Adani Power, this rise in OI alongside a price gain and elevated volumes suggests that market participants are positioning for an upward move. The narrow intraday trading range, combined with a gap-up open, may indicate that traders are cautiously optimistic, awaiting confirmation of a sustained rally.

Given the large-cap status of Adani Power, with a market capitalisation of ₹3,92,366.40 crores, the stock’s derivatives activity is closely watched by institutional investors. The current Mojo Score of 57.0 and a Mojo Grade upgrade from Sell to Hold on 24 August 2026 reflect a moderate improvement in the stock’s outlook, though it remains a cautious buy for many market participants.

Directional Bets and Investor Sentiment

The increase in open interest, coupled with rising volumes and a positive price gap, suggests that traders are building long positions in anticipation of further upside. The futures and options data imply that market participants are actively hedging and speculating, with the options notional value indicating significant interest in both calls and puts, though the directional bias appears skewed towards bullishness given the price action.

However, the stock’s position below several short- and medium-term moving averages signals that resistance levels remain to be tested. Investors should monitor whether the stock can sustain above these averages to confirm a robust uptrend. The elevated delivery volumes also point to genuine accumulation rather than short-term speculative trading, which could support a more durable rally.

Comparative Performance and Sector Context

Adani Power’s 1-day return of 2.76% significantly outpaced the power sector’s decline of 0.30% and the Sensex’s modest gain of 0.15%. This relative outperformance highlights the stock’s growing appeal amid a mixed market environment. The power sector, often sensitive to regulatory and commodity price fluctuations, has seen subdued activity recently, making Adani Power’s strong showing noteworthy.

Given the company’s large-cap status and improved Mojo Grade, investors may view Adani Power as a stabilising force within the sector, potentially attracting capital flows from risk-averse participants seeking exposure to power infrastructure with growth prospects.

Outlook and Investor Considerations

While the recent surge in open interest and volume points to increased bullish sentiment, investors should remain cautious given the stock’s position relative to key moving averages and the narrow trading range. Confirmation of a sustained uptrend will require a decisive break above the 5-day and 20-day moving averages, supported by continued volume and delivery participation.

Adani Power’s upgrade from Sell to Hold by MarketsMOJO on 24 August 2026, with a Mojo Score of 57.0, suggests a neutral stance with potential for improvement. Investors should weigh the stock’s large-cap stability against sector headwinds and monitor derivatives activity as a barometer of market conviction.

Overall, the derivatives market activity in Adani Power signals a growing interest in directional bets, with a tilt towards bullish positioning. This development, combined with the stock’s recent outperformance, makes it a key name to watch in the power sector for the coming weeks.

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