Overview of Call Option Activity
Data from the derivatives segment indicates that Dixon Technologies is witnessing substantial volumes in call options with expiry set for 30 December 2025. The underlying stock closed at ₹12,580, with call options at strike prices ranging from ₹13,000 to ₹14,000 attracting the most attention. The highest number of contracts traded was recorded at the ₹13,500 strike, with 10,447 contracts changing hands, followed closely by the ₹13,000 strike with 9,249 contracts and the ₹14,000 strike with 6,561 contracts.
The turnover figures further highlight the intensity of trading interest. The ₹13,000 strike call options generated a turnover of approximately ₹1,022.85 lakhs, dwarfing other strikes, while the ₹13,500 and ₹13,250 strikes accounted for ₹408.53 lakhs and ₹350.84 lakhs respectively. The ₹14,000 strike, despite fewer contracts, recorded a turnover of ₹97.69 lakhs, reflecting the premium levels at higher strikes.
Open interest data complements this picture, with the ₹14,000 strike call options holding the largest open interest of 10,691 contracts, followed by ₹13,500 at 8,998 and ₹13,000 at 6,278 contracts. This accumulation of open interest near and above the current stock price suggests that market participants are positioning for potential upward price movements or hedging strategies ahead of the expiry.
Price and Market Context
Dixon Technologies’ stock price has been under pressure recently, trading approximately 4.13% above its 52-week low of ₹12,130. Over the last three trading sessions, the stock has recorded a cumulative decline of 4.86%, underperforming its sector by 0.92% on the day of 23 December 2025. The stock is currently trading below all key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, indicating a subdued technical momentum.
Despite the recent price softness, investor participation has shown signs of rising interest. Delivery volumes on 22 December reached 1.94 lakh shares, marking an 8.27% increase compared to the five-day average delivery volume. Liquidity remains adequate, with the stock supporting trade sizes up to ₹12.88 crore based on 2% of the five-day average traded value, making it accessible for institutional and retail investors alike.
Our latest monthly pick, this Small Cap from Oil Exploration/Refineries, is showing strong performance since announcement! See why our Investment Committee chose it after screening 50+ candidates.
- - Investment Committee approved
- - 50+ candidates screened
- - Strong post-announcement performance
Interpretation of Option Market Positioning
The concentration of call option activity at strike prices above the current market value of ₹12,580 suggests a predominantly bullish stance among option traders. The ₹13,000 and ₹13,500 strikes, in particular, have attracted the largest volumes and open interest, indicating expectations of the stock moving higher before the December expiry. The significant open interest at the ₹14,000 strike, despite its higher premium, points to speculative interest or hedging strategies anticipating a strong upside.
Such positioning is often observed when investors expect positive developments or sector tailwinds that could propel the stock price upwards. However, the recent price trend and technical indicators suggest caution, as the stock has been trading below all major moving averages and has experienced a short-term decline. This divergence between option market optimism and spot price performance may reflect hedging activity or a wait-and-watch approach by market participants.
Sector and Market Comparison
Within the Electronics & Appliances sector, Dixon Technologies holds a mid-cap market capitalisation of approximately ₹76,391 crore. On the day of 23 December 2025, the stock’s one-day return was -2.00%, closely tracking the sector’s decline of -2.08%, while the broader Sensex index recorded a more modest fall of -0.19%. This relative performance highlights the stock’s sensitivity to sector-specific factors and market sentiment.
Given the sector’s overall performance and the stock’s recent price behaviour, the heightened call option activity may reflect strategic positioning by investors anticipating a sector rebound or company-specific catalysts in the near term. The expiry date of 30 December 2025 also coincides with the end of the calendar year, a period often marked by portfolio rebalancing and increased volatility in derivatives markets.
Holding Dixon Technologies (India) from Electronics & Appliances? See if there's a smarter choice! SwitchER compares it with peers and suggests superior options across market caps and sectors!
- - Peer comparison ready
- - Superior options identified
- - Cross market-cap analysis
Expiry Patterns and Investor Behaviour
The December expiry cycle is a critical period for options traders, often accompanied by increased volumes and open interest as investors adjust their positions ahead of contract settlement. Dixon Technologies’ call options expiring on 30 December 2025 have attracted significant attention, with the bulk of activity concentrated in the ₹13,000 to ₹14,000 strike range.
This pattern suggests that investors are either positioning for a potential rally or employing hedging strategies to manage risk exposure. The elevated open interest at these strikes indicates that many contracts remain open, which could lead to increased volatility as expiry approaches and traders either close or roll over their positions.
Moreover, the disparity between the underlying stock’s recent price weakness and the bullish call option interest may reflect a nuanced market view, where participants are hedging against downside risk while maintaining upside exposure through call options. This dual approach is common in volatile or uncertain market conditions.
Outlook and Considerations for Investors
Investors analysing Dixon Technologies should consider the interplay between the stock’s recent price trends, sector dynamics, and the derivatives market activity. The heavy call option volumes and open interest at strikes above the current price indicate a degree of optimism or hedging intent among market participants. However, the stock’s technical indicators and recent underperformance relative to the sector counsel a cautious approach.
Market participants may wish to monitor developments in the Electronics & Appliances sector, company-specific news, and broader market trends as the December expiry approaches. The option market activity provides valuable insight into investor sentiment and potential price trajectories, but it should be weighed alongside fundamental and technical analyses.
Overall, Dixon Technologies remains a stock of interest within its sector, with derivatives market data offering a window into evolving investor expectations and positioning strategies.
Only Rs. 14,999 - Get MojoOne + Stock of the Week for 1 Year PLUS 18 Months FREE! Claim Your Free Year →
