Rs 1,300 Puts Draw Over 2,300 Contracts on Reliance Industries Ltd Ahead of 29-Sep Expiry

Put Options Event and Cash Market Context

On 10 September 2026, Reliance Industries Ltd saw significant put option activity concentrated around the Rs 1,260 to Rs 1,300 strikes for the 29 September expiry. The Rs 1,300 strike led with 2,376 contracts traded, followed closely by Rs 1,280 with 3,910 contracts and Rs 1,270 with 2,825 contracts. The total turnover for these strikes was substantial, with Rs 369.59 lakhs at Rs 1,300 and Rs 408.60 lakhs at Rs 1,280, indicating active premium exchange.

The underlying stock closed at Rs 1,272.60, down 0.35% on the day and having fallen 3.56% over the past four sessions. It trades just 1.97% above its 52-week low of Rs 1,249.80 and remains below all major moving averages including the 5-day, 20-day, 50-day, 100-day, and 200-day. Delivery volumes rose 8.05% against the five-day average, signalling increased investor participation despite the price decline — but does this reflect conviction or cautious repositioning?

Strike Price Analysis: Moneyness and Distance from Underlying

The Rs 1,300 strike sits approximately 2.15% above the current price, making these puts slightly in-the-money (ITM). The Rs 1,280 and Rs 1,270 strikes are near at-the-money (ATM) and just out-of-the-money (OTM) respectively, with distances of -0.98% and -0.17% from the underlying price. The Rs 1,260 strike is about 0.98% out-of-the-money.

This distribution of put activity clustered around the current price level suggests that the options market is positioning for potential downside protection or hedging rather than outright bearish speculation at deep OTM strikes. The proximity of these strikes to the underlying price is a key clue — are traders bracing for a pullback or simply protecting existing long positions?

Interpreting the Put Activity: Hedging, Bearish Positioning, or Put Writing?

Put options inherently carry ambiguous signals. The Rs 1,300 strike’s ITM status and the sizeable volume of 2,376 contracts could indicate directional bearish bets expecting further declines. However, the stock’s recent four-day fall and trading below all major moving averages already price in some weakness, which complicates a purely bearish interpretation.

Alternatively, the concentration of activity near the current price and the sizeable open interest at Rs 1,300 (12,562 contracts) and Rs 1,280 (4,970 contracts) suggest that some investors may be hedging existing long positions against further downside risk. This is consistent with the stock’s proximity to its 52-week low and the elevated delivery volumes, which imply that investors are not exiting outright but rather managing risk.

Put writing, or selling puts as a bullish bet, is less likely here given the ITM nature of the Rs 1,300 strike and the high premium turnover. Typically, put writing is more prevalent at OTM strikes where premiums are collected with lower risk of assignment. The data thus leans towards a mix of hedging and cautious bearish positioning rather than confident bullish put selling.

Open Interest and Contracts Analysis

The open interest (OI) at the Rs 1,300 strike stands at 12,562 contracts, significantly higher than the 2,376 contracts traded on the day, indicating that much of the activity is fresh but also building on existing positions. The Rs 1,280 strike has an OI of 4,970 with 3,910 contracts traded, suggesting active repositioning or new hedging strategies.

The ratio of contracts traded to open interest is roughly 0.19 at Rs 1,300 and 0.79 at Rs 1,280, signalling that the Rs 1,280 strike is seeing more aggressive fresh activity relative to existing positions. This could reflect tactical adjustments as the expiry approaches in less than three weeks, with traders fine-tuning their risk exposure.

Cash Market Context: Momentum, Moving Averages, and Delivery Volumes

Reliance Industries Ltd has been under pressure recently, falling 3.56% over four sessions and trading below all key moving averages. This technical weakness aligns with the put activity clustered near the current price, reinforcing the idea that investors are either hedging against further declines or positioning for a cautious downside.

However, the rise in delivery volumes by 8.05% against the five-day average suggests that the selling pressure is accompanied by genuine investor participation rather than purely speculative moves. This nuance supports the interpretation that the put buying is more protective than purely bearish — does this imply a measured approach to risk rather than outright pessimism?

Delivery Volume and Quality of Participation

Delivery volumes of 80.01 lakhs on 9 September 2026 indicate solid investor engagement despite the recent price weakness. The increased delivery volume alongside falling prices often signals that long-term holders are not exiting en masse but may be using options to hedge their positions. This dynamic adds weight to the hedging interpretation of the put activity rather than a wholesale bearish liquidation.

Conclusion: Protective Hedging Dominates Put Activity on Reliance Industries Ltd

The put option activity on Reliance Industries Ltd ahead of the 29 September expiry reveals a market balancing act. The concentration of contracts at strikes close to the current price, combined with the stock’s recent downtrend and elevated delivery volumes, points to a scenario where investors are primarily hedging existing long positions rather than aggressively betting on a sharp decline.

While some bearish positioning cannot be ruled out given the ITM nature of the Rs 1,300 strike puts, the overall data suggests a cautious approach to risk management amid technical weakness. Put writing as a bullish strategy appears less likely given the premium turnover and strike proximity.

With the stock below all major moving averages and near its 52-week low, the options market is signalling guardedness rather than outright pessimism — should investors consider this protective stance as a signal to reassess their exposure?

Key Data at a Glance

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