HDFC Bank Sees Surge in Put Options: 14,266 Contracts at Rs 1960 Strike Price

HDFC Bank Ltd., a prominent player in the private sector banking industry, has emerged as one of the most active stocks in the options market today, particularly in put options. The bank's underlying stock, HDFCBANK, is currently valued at Rs 1969.2, just 4.91% shy of its 52-week high of Rs 1018.85.
Today, two significant put options have drawn attention. The first, with a strike price of Rs 1940, saw 13,429 contracts traded, resulting in a turnover of Rs 298.39 lakhs and an open interest of 1,835 contracts. The second put option, with a strike price of Rs 1960, recorded 14,266 contracts traded, generating a turnover of Rs 716.37 lakhs and an open interest of 2,213 contracts.

Despite the notable activity in the options market, HDFC Bank's stock has faced challenges, experiencing a decline of 2.45% over the past three days, with a one-day return of -1.31%. The stock is currently trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend. However, rising investor participation is evident, with a delivery volume of 63.94 lakhs on August 25, up by 30.15% compared to the 5-day average.

In summary, while HDFC Bank's stock is navigating a downward trajectory, the heightened activity in put options reflects a significant interest in the stock's performance amid current market conditions.