Divi's Laboratories 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 DIVISLAB, that strike is ₹9,000. Spot at ₹9,100 is 1.11% above max pain — possible downward gravitational pull into expiry.
Max Pain Level
The current max‑pain strike for DIVISLAB is ₹9,000, the level at which option writers would incur the smallest aggregate loss if all open contracts expire worthless. This “pain” point tends to act as a magnet for the underlying price as expiry approaches.
Spot vs Max Pain Gap
The spot price of ₹9,100 sits just 1.11 % above the max‑pain level, indicating a modest premium over the strike that may incentivize some sellers to let the price drift lower. With the price already close, any downward pull‑back could tighten the gap and reinforce the magnetic effect.
Shift Signal
The shift metric shows no change from the previous day, suggesting that the open‑interest distribution across strikes has remained stable. Writers appear to be maintaining their current positioning, with no new pressure to adjust strikes in response to market flow.
Expiry Context
Max pain is derived from the net open interest of both calls and puts; the strike that minimizes the combined loss for writers becomes the “pain” point. In the final week before expiry, the underlying often gravitates toward this level as time decay accelerates and market participants hedge or close positions. While this tendency is frequently observed, it does not guarantee the final settlement price.
Data Note
The spot‑to‑max‑pain distance is ₹100 (≈1.11 %) with 25 days remaining until the September 29 expiry.
Data as of 2026-09-04