Avenue Supermarts Limited Max Pain Analysis
What is Max Pain?
Max Pain theory states the underlying gravitates toward the strike where option writers face minimum collective loss at expiry. For DMART, that strike is ₹3,200. Spot at ₹3,133.9 is 2.1% below max pain — possible upward gravitational pull into expiry.
Max Pain Level
The calculated max‑pain strike for DMART is ₹3,200. This is the level at which option writers would incur the smallest aggregate loss, often acting as a magnet as expiry approaches.
Spot vs Max Pain Gap
The spot price of ₹3,133.9 sits about 2.07 % below the max‑pain level, indicating a modest upside pull toward the strike. If the underlying moves toward ₹3,200, the gap narrows and the “pain” magnet strengthens.
Shift Signal
The max‑pain figure has shifted downward by ₹300 from yesterday, suggesting that writers are now more exposed at lower strikes. This downward movement points to a positioning bias where writers may have increased short exposure near the ₹3,200 zone.
Expiry Context
Max pain reflects the aggregate open‑interest of OTM calls and puts, assuming writers will let options expire worthless. In the final week of an expiry cycle, price action often gravitates toward this level, though it remains a statistical tendency rather than a deterministic rule. Traders watch the week‑long window for any convergence or divergence from the calculated strike.
Data Note
The spot is roughly ₹66 away from the max‑pain strike with 26 days remaining until the 23‑Nov expiry.
Data as of 2026-10-28