Open Interest and Volume Dynamics
The latest data reveals that Swiggy’s open interest in derivatives jumped from 3,342 contracts to 5,965, marking an increase of 2,623 contracts or 78.49% on 31 Dec 2025. This sharp rise in OI was accompanied by a futures volume of 5,103 contracts, indicating robust trading activity. The combined futures and options value stood at approximately ₹13,004 lakhs, with futures contributing ₹12,693 lakhs and options an overwhelming ₹1,380 crores in notional value, underscoring the scale of derivatives interest in the stock.
The underlying stock price closed at ₹391, reflecting a 1.44% gain on the day and outperforming the E-Retail/E-Commerce sector by 0.45%. Notably, the stock’s delivery volume surged to 36.96 lakh shares, a 62.66% increase over its five-day average, signalling rising investor participation and interest in the underlying equity.
Market Positioning and Directional Bets
The pronounced increase in open interest alongside elevated volumes suggests that market participants are actively repositioning themselves in Swiggy’s derivatives. Such a surge often indicates fresh directional bets or hedging activity. Given the stock’s recent trend reversal after two consecutive days of decline, traders may be anticipating a potential rebound or volatility ahead.
However, the technical setup presents a nuanced picture. Swiggy’s price remains above its 200-day moving average, a long-term bullish indicator, but below its 5-day, 20-day, 50-day, and 100-day moving averages, which points to short- and medium-term weakness. This mixed technical backdrop may be encouraging speculative positioning in derivatives as traders seek to capitalise on potential price swings.
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Investor Sentiment and Mojo Ratings
Swiggy Ltd’s mojo score currently stands at 23.0, categorised as a Strong Sell, a downgrade from its previous Sell rating on 4 Dec 2025. This reflects deteriorating fundamentals or market outlook as assessed by MarketsMOJO’s proprietary scoring system. The company’s market capitalisation is ₹1,07,886.86 crore, placing it in the mid-cap segment, with a market cap grade of 2, indicating moderate liquidity and size considerations.
Despite the recent price uptick, the strong sell rating suggests that investors should exercise caution. The stock’s liquidity profile supports trading sizes up to ₹4.43 crore based on 2% of the five-day average traded value, making it accessible for institutional and retail traders alike.
Comparative Performance and Sector Context
On 31 Dec 2025, Swiggy’s one-day return was 1.19%, outperforming the E-Retail/E-Commerce sector’s 0.62% gain and the broader Sensex’s marginal 0.06% increase. This relative outperformance, coupled with rising delivery volumes, indicates selective buying interest despite the overall cautious stance.
However, the divergence between short-term moving averages and the 200-day average suggests that the stock remains in a consolidation or correction phase. Market participants may be using derivatives to hedge existing positions or speculate on a directional breakout, given the heightened open interest.
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Implications for Traders and Investors
The surge in derivatives open interest combined with rising volumes and delivery participation signals a pivotal moment for Swiggy Ltd. Traders may be positioning for increased volatility or a directional move, leveraging futures and options to express bullish or bearish views with limited capital outlay.
Given the stock’s mixed technical indicators and strong sell mojo grade, investors should weigh the risks carefully. The elevated open interest could also reflect hedging by institutional players anticipating near-term uncertainty. Monitoring changes in put-call ratios and strike-wise open interest could provide further clues on market sentiment and directional bias.
In summary, while Swiggy Ltd shows signs of renewed investor interest and outperformance relative to its sector, the prevailing cautious ratings and technical signals suggest that the stock remains vulnerable to downside risks. The derivatives market activity underscores the importance of close monitoring for potential trend shifts or volatility spikes in the coming sessions.
Looking Ahead
Market participants should continue to analyse Swiggy’s price action in conjunction with derivatives data to gauge the sustainability of the recent rebound. The interplay between short-term moving averages and the 200-day average will be critical in confirming any trend reversal. Additionally, fundamental developments and sector dynamics in the E-Retail/E-Commerce space will influence investor confidence and positioning.
For now, the sharp increase in open interest and volume highlights Swiggy Ltd as a key stock to watch for active traders seeking to capitalise on evolving market conditions, while long-term investors may prefer to await clearer signals before committing fresh capital.
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