Call Option Trading Highlights
Among the most actively traded call options for Infosys, the strike prices of ₹1,620, ₹1,600, ₹1,640, and ₹1,660 have drawn considerable volumes. The ₹1,620 strike leads with 10,093 contracts traded, generating a turnover of approximately ₹830.86 lakhs and an open interest of 10,514 contracts. This is closely followed by the ₹1,600 strike, where 5,658 contracts changed hands, with turnover reaching ₹738.26 lakhs and open interest standing at 20,661 contracts.
The ₹1,640 strike price recorded 7,915 contracts traded, with turnover of ₹374.85 lakhs and open interest of 8,257 contracts. Meanwhile, the ₹1,660 strike saw 4,371 contracts traded, turnover of ₹115.22 lakhs, and open interest of 2,655 contracts. These figures indicate a strong preference for call options clustered around the current market price, reflecting a strategic focus on near-the-money positions.
Expiry Patterns and Market Positioning
All these call options are set to expire on 30 December 2025, suggesting that traders are positioning themselves for potential price movements in the final days of the year. The concentration of open interest at the ₹1,600 and ₹1,620 strikes points to a bullish sentiment, as investors appear to anticipate the stock price to move above these levels by expiry.
Infosys’s underlying price of ₹1,617.7 sits comfortably between these strike prices, which may encourage further activity as traders seek to capitalise on expected volatility or directional moves. The sizeable turnover and open interest at these strikes also imply that market participants are actively managing their exposure, possibly through spreads or hedging strategies.
Stock Performance and Market Context
Infosys has outperformed its sector by 0.4% on the day, with a 1.07% return compared to the sector’s 0.29% and the Sensex’s decline of 0.21%. The stock has recorded gains over the past two consecutive days, delivering a cumulative return of 1.73% during this period. This positive momentum is supported by the stock trading above its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, signalling sustained strength across multiple timeframes.
However, investor participation has shown signs of moderation, with delivery volume on 17 December falling by 18.69% to 25.93 lakh shares compared to the five-day average. Despite this, liquidity remains adequate, with the stock’s traded value supporting trade sizes up to ₹16.73 crore based on 2% of the five-day average traded value.
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Sector and Market Capitalisation Overview
Infosys operates within the Computers - Software & Consulting industry, a sector that continues to attract investor interest due to its integral role in digital transformation and technology services. The company’s market capitalisation stands at ₹6,65,612 crore, categorising it as a large-cap stock with significant influence on sectoral indices.
The stock’s recent performance relative to the sector and broader market indices highlights its resilience amid varying market conditions. This context is crucial for investors analysing option activity, as it provides a backdrop against which derivative positioning can be better understood.
Implications of Call Option Activity
The heavy call option volumes and open interest at strike prices near the current market value suggest that traders are positioning for potential upward price movements in Infosys. Such activity often precedes notable price action, as option traders seek to benefit from anticipated volatility or directional trends.
Moreover, the clustering of open interest at multiple strikes within a narrow price band indicates a strategic approach to risk and reward, with market participants possibly employing layered option strategies to optimise their exposure.
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Looking Ahead
As the 30 December expiry approaches, monitoring the evolving open interest and volume in Infosys call options will be essential for gauging market sentiment and potential price trajectories. The current data points to a market expectation of sustained or rising prices, with traders actively engaging in derivative contracts to capitalise on this outlook.
Investors should also consider the broader market environment, sectoral trends, and company-specific developments when analysing these option market signals. The interplay of these factors will ultimately shape the stock’s performance in the near term.
Conclusion
Infosys’s prominent call option activity ahead of the December expiry underscores its significance in the derivatives market and reflects a degree of bullish positioning among traders. The concentration of open interest and turnover at strike prices close to the current market value highlights expectations of potential upward movement or volatility in the stock.
While the stock has demonstrated resilience relative to its sector and the broader market, investors should remain attentive to changes in trading volumes, delivery participation, and price trends as the expiry date nears. Such vigilance will aid in making informed decisions in a dynamic market landscape.
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