Open Interest and Volume Dynamics
On 11 Feb 2026, Persistent Systems recorded an open interest (OI) of 52,130 contracts, up from 45,021 the previous day, marking an increase of 7,109 contracts or 15.79%. This rise in OI was accompanied by a volume of 54,115 contracts, indicating active participation in the derivatives market. The futures segment alone accounted for a value of approximately ₹49,474 lakhs, while options contributed a staggering ₹27,160 crores, culminating in a total derivatives value of ₹54,639 lakhs.
The underlying stock price closed at ₹5,742, having touched an intraday low of ₹5,712, down 2.73% from the previous close. Notably, the weighted average price of traded volumes skewed closer to the day’s low, reflecting selling pressure and a bearish bias among traders.
Price Performance and Moving Averages
Persistent Systems has underperformed its sector, Computers - Software & Consulting, by 0.83% on the day, with a 1-day return of -2.15% compared to the sector’s -1.46%. The stock has been on a downward trajectory for two consecutive days, losing 2.3% cumulatively. It is currently trading below all key moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — signalling a sustained bearish trend and weakening investor confidence.
Delivery volumes have also contracted sharply, with a 67.72% decline to 1.7 lakh shares on 10 Feb compared to the 5-day average, indicating falling investor participation in the cash segment. Despite this, liquidity remains adequate, with the stock’s traded value supporting a trade size of approximately ₹10.94 crores based on 2% of the 5-day average traded value.
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Market Positioning and Directional Bets
The sharp increase in open interest amid falling prices typically indicates that new short positions are being established, or existing shorts are being added to, reflecting a bearish market consensus. This is corroborated by the volume pattern, where higher volumes are concentrated near the day’s lows, suggesting aggressive selling by traders.
Options market data further supports this view. The substantial option value of over ₹27,160 crores points to active hedging and speculative activity. Put options are likely seeing increased buying interest as traders position for further downside, while call option open interest may be unwinding or being sold to collect premium in a bearish environment.
Persistent Systems’ Mojo Score currently stands at 67.0, with a Mojo Grade downgraded from Buy to Hold as of 5 Feb 2026. This downgrade reflects the deteriorating technical and fundamental outlook, signalling caution for investors. The company’s market capitalisation is ₹91,254 crores, placing it in the mid-cap category, which often experiences heightened volatility during directional shifts.
Sector and Benchmark Comparison
While Persistent Systems has underperformed its sector and the broader Sensex, which gained 0.13% on the day, the stock’s relative weakness is notable. The sector’s modest decline of 1.46% contrasts with Persistent’s sharper fall, indicating company-specific pressures or profit-taking by investors.
The sustained trading below all major moving averages suggests that the stock is in a downtrend phase, with resistance levels likely to be tested on any rebound attempts. Investors should monitor the 50-day and 200-day moving averages closely, as breaches above these could signal a reversal in trend.
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Implications for Investors and Traders
The current surge in open interest combined with declining prices and falling delivery volumes suggests that Persistent Systems is experiencing increased speculative short interest and reduced long-term investor conviction. Traders should exercise caution, as the heightened derivatives activity may presage increased volatility and potential downside risk in the near term.
Long-term investors may consider the Hold rating and monitor fundamental developments closely, especially given the recent downgrade in Mojo Grade. Meanwhile, short-term traders could look for confirmation of trend continuation or reversal through price action around key moving averages and option expiry dates.
Given the stock’s liquidity profile and active derivatives market, Persistent Systems remains a focal point for market participants seeking exposure to the Computers - Software & Consulting sector, albeit with a more cautious stance recommended at present.
Conclusion
Persistent Systems Ltd’s recent open interest surge amid a weakening price trend highlights a complex market scenario where bearish bets are intensifying. The stock’s technical indicators, combined with derivatives market data, point to a cautious outlook with potential for further downside or volatility. Investors and traders should weigh these factors carefully, balancing the company’s mid-cap status and sector dynamics against the evolving market positioning.
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