ICICI Lombard General Insurance Company 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 ICICIGI, that strike is ₹1,600. Spot at ₹1,583.8 is 1.0% below max pain — possible upward gravitational pull into expiry.
Max Pain Level
The current max‑pain strike for ICICI Lombard General Insurance Company Limited (ICICIGI) is ₹1,600. This is the price at which option writers—those who sold calls and puts—would experience the smallest aggregate loss, acting as a magnet as expiry approaches.
Spot vs Max Pain Gap
The spot price of ₹1,583.8 sits about 1.01 % below the max‑pain level, indicating a modest downside gap. Such a gap suggests that the underlying may be pulled upward toward the ₹1,600 strike if market participants move to close the distance before the contract expires.
Shift Signal
The max‑pain figure has shifted lower by ₹80 from the previous day, a move that reflects a recent bearish tilt among option writers. A downward shift typically signals that writers are hedging or unwinding positions, which can add pressure on the spot price to drift toward the new, lower pain point.
Expiry Context
Max pain is derived from the open‑interest distribution of calls and puts and represents the strike where total writer loss is minimized at expiry. In the final week before expiry, especially in the last ten days, the price often oscillates around this level as market makers adjust hedges, but the relationship remains probabilistic, not deterministic.
Data Note
The spot sits roughly ₹16.2 below the max‑pain strike with 26 days remaining until the 23‑Nov‑2026 expiry.
Data as of 2026-10-28