Weekly Derivatives Insights 02nd November 2026 - Axis Securities
The Week That Was:
• Nifty futures gained 1.9% (437.60 points) to settle at 23,098.90 on Friday, with open interest surging 80.00% by adding 75.17 lakh shares to 169.19 lakh, signaling aggressive long build-up that strengthens continuation momentum.
• Bank Nifty futures advanced 0.5% (271.20 points) to finish at 54,823.40 as open interest climbed 74.90% via 10.09 lakh fresh additions to 23.72 lakh, confirming steady bullish accumulation across banking heavyweight counters.
• India VIX retreated 9.30% from 16.86% to 15.30%, highlighting sharp volatility compression that bolsters overall market risk appetite for directional upside plays.
• FIIs Long Short ratio edged up from 0.12 to 0.13 due to simultaneous unwinding in index longs and index shorts, while absolute short contracts continue to outweigh longs across the broader derivatives landscape.
Nifty Open Interest Put-Call Ratio
• Nifty Put-Call Ratio (PCR) surged 0.61 week-on-week as heavy call unwinding outpaced put liquidation to yield net-positive put additions, signaling aggressive short-covering alongside firm downside put underwriting that supports a buy-on-dips bullish momentum regime.
Volatility Analysis
• Nifty’s volatility curve shifted uniformly higher week-on-week across all strikes for Nov expiry, with ATM IV expanding roughly 300 basis points alongside a mild flattening in the downside put skew.
• This indicates traders are aggressively pricing broad tail risk and bidding up calls, reflecting active demand for upside leverage rather than panic-driven downside hedging as directional conviction intensifies
Nifty Open Interest Concentration (Monthly)
• Nifty Nov expiry Options positioning remains unchanged week-over-week, cementing a healthy support floor across 22,000 and 22,500. Meanwhile, the 23,500 level acts as near-term resistance, projecting constructive upward momentum within this defined corridor.
• Speaking of open interest changes, the 23,500-strike Call and 22,500 strike Put saw the maximum addition.
• Nifty index for the week is expected to trade between 22,500 support and 23,500 resistance levels, with 23,000 level acting as a crucial pivot point to dictate short-term momentum.
Bank Nifty Open Interest Concentration (Monthly)
• Bank Nifty Nov series option exhibits a constructive bias as fresh long accumulation reinforces immediate support at the 54,000–53,000 band, while overhead resistance consolidates across the 56,000–57,000 strikes.
• Speaking of open interest changes, the 58,000-strike Call and 58,000 strike Put saw the maximum addition, alongside the 55,000 strike Call and 55,000 strike Put.
• Bank Nifty likely to remains within a 53,000–56,000 corridor. Firm downside support anchors at 53,000, while immediate resistance at 55,000.
Weekly Participant-wise Open Interest (contracts)
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