Open Interest and Volume Dynamics
On 29 Jan 2026, Jindal Steel’s open interest (OI) in futures and options contracts rose sharply by 2,413 contracts, a 10.07% increase from the previous day’s 23,957 to 26,370. This notable expansion in OI, coupled with a daily volume of 29,374 contracts, indicates fresh positions being established rather than existing ones being squared off. The futures value traded stood at ₹41,081.74 lakhs, while the options segment recorded an astronomical notional value of approximately ₹17,692.95 crores, underscoring the stock’s active derivatives market.
The total combined value of futures and options traded was ₹46,882.48 lakhs, reflecting strong liquidity and investor interest. The underlying stock price closed at ₹1,158, just shy of the intraday high of ₹1,165.2, marking a 4.09% gain on the day and outperforming the ferrous metals sector by 2.88%. This price action aligns with the rising open interest, suggesting that market participants are positioning for further upside.
Price Momentum and Technical Positioning
Jindal Steel has been on a consistent upward trajectory, gaining 8.96% over the past three trading sessions. The stock is trading above all key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a strong bullish trend. The recent breakout to a new 52-week high reinforces the positive technical outlook.
Investor participation has also surged, with delivery volumes on 28 Jan reaching 13.3 lakh shares, a 61.92% increase compared to the five-day average delivery volume. This rise in delivery volume indicates genuine accumulation by long-term investors rather than speculative trading, adding further conviction to the bullish narrative.
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Market Positioning and Sentiment
The surge in open interest alongside rising prices typically indicates fresh bullish bets, as traders and investors anticipate further gains. The 10.07% increase in OI suggests that new long positions are being added rather than short covering, which would have reduced OI. This is corroborated by the stock’s outperformance relative to the Sensex, which declined by 0.20% on the same day, and the ferrous metals sector’s modest 0.75% gain.
Jindal Steel’s market capitalisation stands at a substantial ₹1,16,775 crore, classifying it as a large-cap stock with adequate liquidity to support sizeable trades. The stock’s liquidity, measured against 2% of the five-day average traded value, comfortably supports trade sizes up to ₹4.97 crore, making it attractive for institutional investors and high-net-worth individuals.
Mojo Score and Analyst Ratings
MarketsMOJO assigns Jindal Steel a Mojo Score of 61.0, reflecting a moderate bullish stance with a Hold grade. This represents an upgrade from the previous Sell rating issued on 11 Nov 2025, signalling improving fundamentals and technicals. The Market Cap Grade remains at 1, indicating the stock’s large-cap status but also suggesting room for growth in market valuation metrics.
The upgrade in rating aligns with the recent price and volume action, as well as the expanding open interest, which collectively point to strengthening investor confidence and positive market sentiment.
Sector and Broader Market Context
The ferrous metals sector has been under pressure due to global commodity price fluctuations and demand concerns. However, Jindal Steel’s recent outperformance and rising open interest suggest it is bucking the broader sector trend. This divergence may be driven by company-specific factors such as improved operational performance, cost efficiencies, or favourable contract wins, which have yet to be fully priced in by the market.
Investors should monitor global steel demand indicators, raw material cost trends, and domestic infrastructure spending, as these will influence the stock’s medium-term trajectory.
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Implications for Investors
The sharp rise in open interest and volume, combined with the stock’s technical breakout and upgraded rating, suggests that Jindal Steel is currently attracting bullish bets from both retail and institutional participants. Investors looking to capitalise on this momentum should consider the stock’s valuation, sector outlook, and risk factors such as commodity price volatility and global economic conditions.
While the Hold rating indicates some caution, the recent upgrade from Sell and the positive price action imply that the stock could be poised for further gains if the current trend sustains. Monitoring open interest trends in the coming sessions will be crucial to confirm whether the bullish positioning continues or if profit-taking emerges.
Conclusion
Jindal Steel Ltd.’s derivatives market activity reveals a clear shift towards bullish positioning, supported by a 10.07% increase in open interest and strong volume. The stock’s new 52-week high, rising delivery volumes, and upgraded Mojo Grade from Sell to Hold reinforce the positive outlook. However, investors should remain vigilant of sector headwinds and broader market volatility.
Overall, the data suggests that Jindal Steel is currently a key focus for market participants seeking exposure to the ferrous metals sector, with potential for further upside if the current momentum is sustained.
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