Trade Setup for October 27: Top 15 things to know before the opening bell ahead of F&O expiry

On the upside, the Nifty 50 needs to overcome the immediate resistance zone of 22,800–22,850 to extend its recovery. On the downside, the 22,500–22,400 range is likely to act as an immediate support zone, according to market experts. Here are 15 data points we have collated to help you spot profitable trades: 1) Key Levels For The Nifty 50 (22,753) Resistance based on pivot points: 22,771, 22,857, and 22,997

Support based on pivot points: 22,491, 22,405, and 22,265 Special Formation: The Nifty 50 formed a long bullish candle with a sizeable lower wick within the previous day’s trading range, indicating buying interest at lower levels. However, the significance of this formation remains limited amid range-bound trading. The index continued to trade below all key moving averages, suggesting that the broader technical structure remains weak.

The RSI rose to 46.08 and remained above its signal line, indicating a modest improvement in momentum. Meanwhile, the MACD sustained its position above the reference line, although the green histogram bar contracted for the fourth consecutive session, signalling a loss of upward momentum. Overall, the indicators suggest a tentative recovery, but sustained buying interest is needed to strengthen the bullish momentum and confirm a potential trend reversal.

2) Key Levels For The Bank Nifty (54,367) Resistance based on pivot points: 54,414, 54,559, and 54,794 Support based on pivot points: 53,944, 53,799, and 53,564 Resistance based on Fibonacci retracement: 54,937, 55,657 Support based on Fibonacci retracement: 54,053, 52,784 Special Formation: The Bank Nifty formed a bullish candle with a long lower shadow on the daily chart, following a strong recovery from the day’s low, indicating buying interest at lower levels.

However, the index continued to trade below all key moving averages, all of which were trending downward, suggesting that the broader technical structure remained weak. The RSI rose to 38.74 but remained below its signal line, indicating that bearish momentum persisted. Meanwhile, the MACD showed a bearish crossover, with the histogram turning red, signalling continued downside pressure. Overall, the technical indicators suggest buying interest at lower levels, but the broader trend remains weak, with a sustained recovery needed to confirm a meaningful reversal.

3) Nifty Call Options Data According to the monthly options data, the 23,000 strike holds the maximum Call open interest (with 1.75 crore contracts). This level can act as a key resistance level for the Nifty in the short term. It was followed by the 23,100 strike (1.38 crore contracts) and 23,200 strike (1.27 crore contracts). Maximum Call writing was observed at the 23,100 strike, which saw an addition of 29.52 lakh contracts, followed by the 22,900 and 23,200 strikes, which added 14.18 lakh and 10 lakh contracts, respectively.

The maximum Call unwinding was seen at the 22,500 strike, which shed 37.49 lakh contracts, followed by the 22,700 and 22,550 strikes, which shed 15.06 lakh and 14.72 lakh contracts, respectively. 4) Nifty Put Options Data On the Put side, the maximum Put open interest was seen at the 22,500 strike (with 1.69 crore contracts), which can act as a key support level for the Nifty in the short term. It was followed by the 22,600 strike (1.43 crore contracts) and the 22,400 strike (1.3 crore contracts).

The maximum Put writing was placed at the 22,600 strike, which saw an addition of 81.09 lakh contracts, followed by the 22,700 and 22,400 strikes, which added 54.93 lakh and 52.59 lakh contracts, respectively. The maximum Put unwinding was seen at the 23,000 strike which shed 15.18 lakh contracts, followed by the 23,100 and 23,200 strikes, which shed 2.85 lakh and 2.3 lakh contracts, respectively.

5) Bank Nifty Call Options Data According to the monthly options data, the 55,000 strike holds the maximum Call open interest, with 14.46 lakh contracts. This can act as a key resistance level for the index in the short term. It was followed by the 55,500 strike (12.32 lakh contracts) and the 54,500 strike (7.54 lakh contracts). Maximum Call writing was observed at the 54,500 strike (with the addition of 1.74 lakh contracts), followed by the 54,100 strike (1.37 lakh contracts) and 54,000 strike (1.14 lakh contracts).

The maximum Call unwinding was seen at the 55,700 strike, which shed 69,810 contracts, followed by the 53,000 and 55,800 strikes, which shed 22,620 and 20,970 contracts, respectively. 6) Bank Nifty Put Options Data On the Put side, the maximum Put open interest was seen at the 54,000 strike (with 9.56 lakh contracts), which can act as a key support level for the index in the short term. This was followed by the 53,000 strike (8.61 lakh contracts) and the 55,000 strike (6.98 lakh contracts).

The maximum Put writing was placed at the 54,100 strike (which added 2.61 lakh contracts), followed by the 54,000 strike (2.28 lakh contracts) and 53,800 strike (1.6 lakh contracts). The maximum Put unwinding was seen at the 55,000 strike, which shed 1.42 lakh contracts, followed by the 54,500 and 55,500 strikes, which shed 1.14 lakh and 1.12 lakh contracts, respectively. 7) Funds Flow (Rs crore) The Nifty Put-Call ratio (PCR), which indicates the mood of the market, jumped to 1.11 on October 26, compared to 0.81 in previous session.

The increasing PCR, or being higher than 0.7 or surpassing 1, means traders are selling more Put options than Call options, which generally indicates the firming up of a bullish sentiment in the market. If the ratio falls below 0.7 or moves towards 0.5, then it indicates selling in Calls is higher than selling in Puts, reflecting a bearish mood in the market. The India VIX, which measures expected market volatility, extended its upward momentum, rising 1.78 percent to close at 17.16, its highest closing level since May 22.

The continued rise in volatility signalled increasing caution among market participants and posed a challenge to bullish sentiment. 10) Long Build-up (74 Stocks) A long build-up was seen in 74 stocks. An increase in open interest (OI) and price indicates a build-up of long positions. 11) Long Unwinding (16 Stocks) 16 stocks saw a decline in open interest (OI) along with a fall in price, indicating long unwinding.

12) Short Build-up (31 Stocks) 31 stocks saw an increase in OI along with a fall in price, indicating a build-up of short positions. 13) Short-Covering (97 Stocks) 97 stocks saw short-covering, meaning a decrease in OI, along with a price increase. 14) High Delivery Trades Here are the stocks that saw a high share of delivery trades. A high share of delivery reflects investing (as opposed to trading) interest in a stock.

15) Stocks Under F&O Ban Securities banned under the F&O segment include companies where derivative contracts cross 95 percent of the market-wide position limit. Stocks added to F&O ban: Nil Stocks retained in F&O ban: Ambuja Cements, Kaynes Technology India, SAIL Stocks removed from F&O ban: Nil