Patanjali Foods Sees Surge in Open Interest Amid Active Market Participation

Patanjali Foods Ltd, a prominent player in the edible oil industry, has experienced a significant increase in open interest today. The latest open interest stands at 31,415 contracts, reflecting a notable rise of 5,847 contracts or 22.87% from the previous open interest of 25,568. This surge coincides with a trading volume of 35,317 contracts, indicating active market participation.
In terms of price performance, Patanjali Foods has underperformed its sector by 2.5%, with the stock reaching an intraday low of Rs 1,751.7, down 3.28% from the previous close. The weighted average price suggests that more volume was traded closer to this low price point. Additionally, the stock is currently trading below its 5-day, 20-day, 50-day, 100-day, and 200-day moving averages, indicating a bearish trend.

Investor participation appears to be declining, as evidenced by a delivery volume of 4.44 lakh shares on May 15, which has decreased by 1.57% compared to the 5-day average. Despite these challenges, the stock remains liquid enough for trades sized at Rs 2.04 crore, based on 2% of the 5-day average traded value. Overall, the increase in open interest highlights a shift in market dynamics for Patanjali Foods, warranting close observation.