KEI Industries 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 KEI, that strike is ₹3,900. Spot at ₹3,856 is 1.1% below max pain — possible upward gravitational pull into expiry.
Max Pain Level
The strike of ₹3900 represents the point where option writers would incur the smallest aggregate loss if all contracts expired worthless. This level often acts as a magnet as expiry approaches.
Spot vs Max Pain Gap
The spot price of ₹3856 sits just below the ₹3900 level, indicating a 1.13 % shortfall. The slight gap suggests modest upward pressure could pull the market toward the strike.
Shift Signal
A downward shift of ₹500 from the previous day signals that writers may be re‑balancing positions toward lower strikes. This movement hints at a buildup of open interest on the downside side of the curve.
Expiry Context
Max pain is derived from the net open interest of calls and puts and typically draws the underlying toward the strike in the final week of trading. While the pattern is observable, it remains a tendency rather than a certainty.
Data Note
The underlying is currently about ₹44 away from the critical level, with 26 days remaining until the November 23 expiry.
Data as of 2026-10-28