Robust Call Option Volumes Signal Bullish Sentiment
Data from the derivatives market reveals that HDFC Bank’s call options expiring on 28 July 2026 have attracted significant interest. The most actively traded strike prices include ₹810, ₹815, ₹825, ₹830, and ₹900, with contract volumes ranging from 1,756 to 4,656 contracts. Notably, the ₹810 strike call option recorded the highest number of contracts traded at 4,656, generating a turnover of approximately ₹7.32 crores (₹732.39 lakhs). This is closely followed by the ₹815 strike with 3,965 contracts and a turnover of ₹5.57 crores.
The open interest (OI) figures further corroborate this bullish positioning. The ₹810 strike boasts an OI of 5,136 contracts, indicating sustained interest and potential accumulation by traders expecting the stock to breach this level. Similarly, the ₹830 strike has an OI of 4,277, while the ₹900 strike, despite being further out-of-the-money, holds an OI of 8,468 contracts, suggesting speculative bets on a strong upward move in the coming weeks.
Underlying Stock Performance Supports Positive Outlook
HDFC Bank’s underlying equity has outperformed its sector peers and the broader market in recent sessions. On 6 July 2026, the stock gained 2.57%, touching an intraday high of ₹819.6, outperforming the private sector banking sector by 1.27% and the Sensex by 2.14%. The stock has recorded consecutive gains over the past two days, delivering a cumulative return of 2.88% during this period.
Technical indicators also lend support to the bullish narrative. The stock is trading above its 5-day, 20-day, 50-day, and 100-day moving averages, although it remains below the 200-day moving average, signalling a medium-term resistance level. Despite a recent decline in delivery volumes by 27.21% compared to the 5-day average, liquidity remains robust, with an average traded value sufficient to support sizeable trades up to ₹60.24 crores.
Mojo Score Upgrade Reflects Improving Fundamentals
HDFC Bank’s mojo score currently stands at 62.0, categorised as a Hold, an improvement from its previous Sell rating as of 27 February 2026. This upgrade reflects a more balanced assessment of the bank’s financial health, growth prospects, and valuation metrics. As a large-cap entity with a market capitalisation exceeding ₹12.33 lakh crores, HDFC Bank remains a key bellwether for the private banking sector.
Investors should note that while the mojo grade has improved, it does not yet signal a strong buy, indicating that caution is warranted amid broader macroeconomic uncertainties and sector-specific challenges. Nonetheless, the surge in call option activity suggests that market participants are increasingly optimistic about the bank’s near-term price appreciation potential.
Expiry Patterns and Strike Price Distribution
The concentration of call option volumes around the ₹810 to ₹830 strikes, which are near-the-money levels relative to the current stock price, indicates that traders are positioning for moderate upside moves. The substantial open interest at the ₹900 strike, which is approximately 10% above the current price, points to speculative interest in a more aggressive rally by the end of July.
Such expiry patterns are typical in a market where investors seek to capitalise on anticipated positive catalysts, including quarterly earnings announcements, macroeconomic data releases, or sectoral developments. The expiry date of 28 July 2026 is thus a focal point for traders looking to leverage directional bets through call options.
Implications for Investors and Traders
For investors, the current option market dynamics suggest a cautiously optimistic outlook on HDFC Bank’s stock price trajectory. The elevated call option volumes and open interest at multiple strike prices provide a window into market expectations of upward momentum. However, the Hold mojo grade and the stock’s position below the 200-day moving average counsel prudence.
Traders may find opportunities in the near-term expiry cycle by monitoring price action around key strike prices and adjusting positions accordingly. The liquidity profile of the stock supports active trading strategies, while the recent outperformance relative to sector and benchmark indices adds confidence to bullish plays.
Overall, the derivatives market activity combined with fundamental and technical indicators paints a picture of measured optimism, with investors balancing potential gains against prevailing risks.
