Tata Communications Sees Significant Open Interest Surge Amid Active Derivatives Trading

Tata Communications Ltd, a prominent player in the Telecom Services industry, has experienced a significant increase in open interest today. The latest open interest stands at 37,602 contracts, reflecting a rise of 5,080 contracts or 15.62% from the previous open interest of 32,522. This uptick in open interest comes alongside a trading volume of 20,664 contracts, indicating active participation in the derivatives market.
In terms of overall market performance, Tata Communications has underperformed its sector by 1.27% today, with a stock return of -0.13%. The stock is currently trading at an underlying value of Rs 1,686. Notably, it is positioned higher than its 5-day, 20-day, 50-day, and 100-day moving averages, although it remains below the 200-day moving average.

Investor participation appears to be declining, as evidenced by a delivery volume of 2.17 lakh shares on May 27, which has decreased by 27.96% compared to the 5-day average. Despite this, the stock maintains sufficient liquidity for trades up to Rs 1.53 crore, based on 2% of the 5-day average traded value. Overall, the notable increase in open interest highlights a shift in market dynamics for Tata Communications, warranting attention from market observers.