Put Option Activity Highlights
On the derivatives front, MCX recorded a notable volume of 1,568 put option contracts traded at the ₹10,000 strike price for the expiry dated 30 December 2025. This activity generated a turnover of approximately ₹3.54 crores (353.64 lakhs) and an open interest of 1,773 contracts, signalling considerable positioning in the options market. The underlying value of MCX at the time stood at ₹10,370, indicating that the strike price is positioned slightly below the current market price, which may suggest hedging or cautious bearish positioning by some market participants.
Price Performance and Market Context
MCX’s price trajectory has been notably positive in recent sessions. The stock has recorded gains over four consecutive days, accumulating a return of 7.51% during this period. On 27 November 2025, MCX outperformed its sector by 0.89%, with a one-day return of 1.05%, compared to the sector’s 0.55% and the Sensex’s 0.11%. This outperformance is further supported by the stock trading above its key moving averages, including the 5-day, 20-day, 50-day, 100-day, and 200-day averages, underscoring a strong upward momentum.
Investor participation has also shown signs of strengthening. Delivery volume on 26 November 2025 reached 2.37 lakh shares, representing a 57.61% rise compared to the five-day average delivery volume. This increase in delivery volume suggests that investors are not only trading the stock but also holding shares for longer-term exposure, which often correlates with confidence in the stock’s fundamentals and outlook.
Crushing the market! This Small Cap from Aerospace & Defense just earned its spot in our Top 1% with impressive gains. Don't let this opportunity slip through your hands.
- - Recent Top 1% qualifier
- - Impressive market performance
- - Sector leader
See What's Driving the Rally →
Interpreting the Put Option Interest
The concentration of put option contracts at the ₹10,000 strike price, just below the current market price, may indicate a strategic approach by traders to hedge existing long positions or to speculate on potential downside risk. Open interest of 1,773 contracts at this strike price suggests that a sizeable number of investors are positioning for protection against a price correction or are anticipating volatility in the coming weeks leading up to the December expiry.
Given MCX’s recent price strength and the fact that it is trading above all major moving averages, the put option activity could also reflect a cautious stance amid broader market uncertainties. Investors might be using these options as insurance to safeguard gains accrued over the past month, during which the stock has shown consistent upward movement.
Liquidity and Market Capitalisation
MCX’s liquidity profile supports active trading and sizeable transactions. The stock’s traded value comfortably accommodates trade sizes of up to ₹10.39 crores, based on 2% of the five-day average traded value. This level of liquidity is conducive to both institutional and retail participation, facilitating efficient price discovery and execution of large orders without significant market impact.
With a market capitalisation of approximately ₹52,992.41 crores, MCX is classified as a mid-cap stock within the capital markets sector. This positioning places it in a segment that often attracts a blend of growth-oriented and value-focused investors, balancing stability with potential for appreciation.
Multi Commodity Exchange of India caught your attention? Explore our comprehensive research report with in-depth analysis of this mid-cap Capital Markets stock – fundamentals, valuations, financials, and technical outlook!
- - Comprehensive research report
- - In-depth mid-cap analysis
- - Valuation assessment included
Expiry Patterns and Market Sentiment
The expiry date of 30 December 2025 is the focal point for the put option activity, with traders likely positioning ahead of the year-end. This timing is significant as it coincides with the closing of the calendar year, a period often marked by portfolio rebalancing and strategic adjustments by market participants.
While the put options at the ₹10,000 strike price suggest some degree of caution, the overall market data for MCX points to a prevailing bullish sentiment. The stock’s ability to sustain levels above key moving averages and its recent all-time high indicate that investors are confident in the company’s prospects within the capital markets sector.
Moreover, the delivery volume spike and the stock’s outperformance relative to its sector and the broader Sensex reinforce the notion of strong underlying demand. This dynamic creates an interesting juxtaposition where put option activity may be serving as a prudent risk management tool rather than a signal of outright bearishness.
Conclusion: Balancing Optimism with Prudence
Multi Commodity Exchange of India Ltd’s current market behaviour illustrates a scenario where bullish price action coexists with active put option trading. This combination reflects a nuanced market environment where investors seek to capitalise on upward momentum while simultaneously managing downside risks through options strategies.
For market participants, understanding this interplay is crucial. The stock’s liquidity, market capitalisation, and strong technical indicators provide a solid foundation for continued interest. Meanwhile, the put option activity highlights the importance of hedging in volatile or uncertain market conditions.
As the 30 December expiry approaches, monitoring changes in open interest and strike price concentrations will offer further insights into evolving market sentiment and positioning around MCX.
Get 1 year of Weekly Picks FREE when you subscribe to MojoOne. Offer ends soon. Start Saving Now →
