Call Option Activity Highlights
On 21 January 2026, Reliance Industries Ltd (NSE: RELIANCE) recorded a significant surge in call option volumes, with 7,959 contracts traded at the 1400 strike price expiring on 27 January. This activity generated a turnover of approximately ₹479.53 lakhs, reflecting robust investor interest in bullish derivatives strategies. Open interest at this strike stands at 6,211 contracts, indicating sustained positions rather than purely speculative trades.
The underlying stock price was ₹1,397.20 at the time of this activity, just shy of the 1400 strike, suggesting that traders are betting on a near-term upside move. The concentration of call options at this strike price and expiry date points to a consensus expectation that Reliance could breach this level within the next week.
Technical and Market Context
Reliance’s stock performance on the day was inline with its sector peers, posting a modest gain of 0.18%, slightly outperforming the oil sector’s 0.16% rise and contrasting with the broader Sensex’s decline of 0.08%. Notably, the stock has reversed its trend after three consecutive days of losses, signalling a potential short-term recovery.
However, the technical picture remains cautious. Reliance is trading below all major moving averages — 5-day, 20-day, 50-day, 100-day, and 200-day — which typically indicates bearish momentum. Additionally, investor participation has waned, with delivery volumes on 20 January falling by 10.99% compared to the five-day average, suggesting some hesitation among long-term holders.
Liquidity remains adequate for sizeable trades, with the stock’s average traded value supporting a trade size of ₹43.11 crores based on 2% of the five-day average. This liquidity profile supports the active options market and allows institutional players to execute large derivative positions without excessive slippage.
Our latest weekly pick is live! This Large Cap from Diamond & Gold Jewellery comes with clear entry and exit targets. See the detailed report with target price now!
- - Clear entry/exit targets
- - Target price revealed
- - Detailed report available
Fundamental and Rating Overview
Reliance Industries Ltd, a dominant player in the oil sector with a market capitalisation of ₹18,89,809.28 crores, currently holds a Mojo Score of 62.0 and a Mojo Grade of Hold. This represents a downgrade from a Buy rating issued on 6 January 2026, reflecting a more cautious stance amid recent price weakness and sector headwinds.
The company’s Market Cap Grade is 1, indicating its status as a large-cap stock with significant institutional interest and market influence. Despite the Hold rating, the active call option interest suggests that traders are anticipating a near-term positive catalyst or technical rebound.
Expiry Patterns and Strike Price Significance
The 27 January expiry is the nearest monthly expiry, and the clustering of call options at the 1400 strike price is noteworthy. This strike is just above the current market price, making it an attractive target for bullish traders seeking leveraged upside with limited downside risk.
Open interest data confirms that these positions are not fleeting; the sizeable OI of 6,211 contracts indicates that many traders are holding these calls in anticipation of a price move above 1400 before expiry. This could be driven by expectations of positive sector developments, favourable crude oil prices, or company-specific news.
Sectoral and Broader Market Implications
The oil sector has shown resilience despite global uncertainties, and Reliance’s performance often serves as a bellwether for the industry. The stock’s slight outperformance relative to the Sensex and sector peers today, combined with the bullish option positioning, may signal a tentative recovery phase.
However, the technical indicators caution investors to remain vigilant. The stock’s position below all major moving averages suggests that any rally could face resistance, and the decline in delivery volumes points to reduced conviction among long-term investors.
Reliance Industries Ltd or something better? Our SwitchER feature analyzes this large-cap Oil stock and recommends superior alternatives based on fundamentals, momentum, and value!
- - SwitchER analysis complete
- - Superior alternatives found
- - Multi-parameter evaluation
Investor Takeaways and Outlook
For investors and traders, the heavy call option activity in Reliance Industries Ltd ahead of the January expiry is a clear sign of bullish positioning. The 1400 strike price acts as a psychological and technical hurdle, and a close above this level could trigger further upside momentum.
Nevertheless, the stock’s current technical weakness and reduced delivery volumes warrant caution. Investors should monitor price action closely, especially in relation to moving averages and sector trends, before committing to fresh long positions.
Given the company’s large-cap status and significant market influence, any positive developments in crude oil prices or strategic corporate announcements could act as catalysts to validate the bullish options positioning.
In summary, Reliance Industries Ltd remains a focal point for derivatives traders, with call options at the 1400 strike price signalling optimism for a near-term rebound. However, the Hold rating and technical indicators suggest a balanced approach is prudent until clearer directional signals emerge.
Upgrade at special rates, valid only for the next few days. Claim Your Special Rate →
