Surge in Open Interest Signals Increased Trading Activity for NCC Ltd Amid Price Decline
NCC Ltd has seen a significant rise in open interest, reaching 9,410 contracts, alongside a trading volume of 6,638 contracts, indicating increased activity in the derivatives market. Despite recent price declines, the stock remains above its 100-day moving average, with notable liquidity improvements.
NCC Ltd, a mid-cap player in the construction industry, has experienced a notable increase in open interest (OI) today. The latest OI stands at 9,410 contracts, reflecting a rise of 1,169 contracts or 14.19% from the previous OI of 8,241. This surge in OI comes alongside a trading volume of 6,638 contracts, indicating heightened activity in the derivatives market.In terms of price performance, NCC Ltd has underperformed its sector by 2.22%, with the stock falling 3.56% today. It reached an intraday low of Rs 225.06, marking a decline of 3.64%. The weighted average price suggests that more volume was traded closer to this low price, which may indicate a shift in trading dynamics.
Despite the recent downturn, NCC Ltd's stock remains above its 100-day moving average, although it is trading below its 5-day, 20-day, 50-day, and 200-day moving averages. The stock's liquidity appears adequate, with a delivery volume of 29.84 lakh shares on July 1, reflecting a significant increase of 137.89% compared to the 5-day average delivery volume.
Overall, the increase in open interest alongside the recent price movements highlights a significant shift in trading activity for NCC Ltd, warranting close observation.
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