Updated on 24 May 2026 @ 7.00 AM
State Bank Option Chain Strategy Today (26 May Expiry)
Today’s Options Trade Setup
| Instrument | Trade | Buy Zone | Target | Stop Loss |
|---|---|---|---|---|
| State Bank | 960 CE Buy | Rs. 5 – 7 | Rs. 14 / 24 | Rs. 3 |
| State Bank | 940 PE Buy | Rs. 12 – 15 | Rs. 24 / 34 | Rs. 7 |
Execution Plan
| Condition | Action |
|---|---|
| Above 960 | Buy 960 CE |
| Below 940 | Buy 940 PE |
| 940 – 960 | High Volatility No Trade Zone |
Why This Strategy?
| Factor | Observation |
|---|---|
| Closing Price | Rs. 949.20 |
| Trend | Short-term bearish, medium-term bullish, long-term bullish |
| RSI | 31.89, near oversold zone |
| MACD | Strong negative crossover intact |
| Option Data | Heavy Call writing near 960–980 |
| Technical Setup | Trading below major moving averages |
State Bank continues to remain under corrective pressure after sharp profit booking from higher levels despite broader long-term bullish structure remaining intact.
The stock has already delivered:
• -0.18% return in 1 day
• -1.45% return in 1 week
• -13.97% return in 1 month
• -20.40% return in 3 months
• 19.40% return in 1 year
Technically, State Bank is trading below 20DMA, 34DMA, 50DMA and 89DMA, indicating sustained medium-term weakness despite price attempting stabilization near the 940–950 support cluster.
Momentum indicators remain weak as MACD maintains strong negative crossover while RSI continues to remain near oversold territory.
Support and Resistance (Option Chain Based)
| Type | Levels |
|---|---|
| Immediate Support | 940 – 930 |
| Strong Support | 920 |
| Immediate Resistance | 960 – 970 |
| Strong Resistance | 980 |
| Major Breakout Zone | 960 |
Key Levels
| Level Type | Price |
|---|---|
| Pivot Strike | 950 |
| Downside Trigger | 940 |
| Upside Trigger | 960 |
PCR Analysis Today
| Strike | PCR | Interpretation |
|—|—|
| 920 | 5.21 | Extremely strong Put support |
| 930 | 5.20 | Aggressive Put writing visible |
| 940 | 3.10 | Stable bullish support |
| 950 | 1.23 | Neutral positioning |
| 960 | 0.40 | Heavy Call pressure visible |
| 970 | 0.36 | Strong resistance zone |
| 980 | 0.25 | Aggressive Call writing |
👉 Bias: Recovery above 960, weakness below 940
Max Pain Today
| Metric | Level |
|---|---|
| Max Pain Zone | 950 |
Intraday Strategy (Option Chain Based)
| Scenario | Expectation | Trade Strategy |
|—|—|
| Above 960 | Recovery rally toward 970 / 980 possible | CE Buy |
| Below 940 | Selling pressure may intensify toward 930 / 920 | PE Buy |
| 940 – 960 | Volatile sideways market | Avoid aggressive option buying |
Technical View Today
| Indicator | Signal |
|---|---|
| Momentum | Bearish structure active |
| Bollinger Band | Trading near lower half |
| ADX | 29.69, bearish trend active |
| MACD | Strong negative crossover |
| Moving Averages | Below 20DMA, 50DMA & 89DMA |
| RSI | 31.89, near oversold |
| Stochastics | Mild recovery bounce possible |
| ATR | High volatility expected |
Trading Meaning
| Factor | Analysis |
|---|---|
| Technical Structure | State Bank remains technically weak |
| Resistance Zone | Heavy Call writing near 960–980 |
| Support Zone | Strong Put writers active at 920–940 |
| Bullish Trigger | Sustained move above 960 may trigger short covering |
| Bearish Trigger | Breakdown below 940 may intensify downside |
| Trading Strategy | Focus on confirmed directional breakout |
Pro-Level Upgrade (What Big Players Do)
| Pro Setup | Institutional Behaviour |
|---|---|
| Near 960–980 | Call writers likely to defend aggressively |
| Above 960 | Short covering may accelerate sharply |
| Gap-Down Opening | Smart money may wait for pullback entry |
| Inside 940–960 | Premium decay likely to dominate |
| Volatility Strategy | Fast directional trades preferred |
Smart Trader Insight
| Situation | Professional Approach |
|---|---|
| Gap-Down Opening | Avoid emotional PE chasing |
| Sharp Dip Near 940 | Watch for aggressive Put defense |
| Expiry Volatility | Use strict stop losses |
| Sideways Market | Avoid overtrading amid premium erosion |
Final Chanakya View
State Bank enters the expiry session with cautious undertone after sustained corrective pressure from higher levels and visible weakness across short-term momentum indicators.
Technically, the stock continues to remain under pressure below major moving averages while MACD and DMI structure continue favouring bears. However, aggressive Put writer activity near the 920–940 zone may provide temporary support during volatile expiry trade.
👉 Above Rs. 960: Recovery rally may extend toward Rs. 970–980
👉 Below Rs. 940: Selling pressure may drag the stock toward Rs. 930–920
👉 Between Rs. 940–960: Expect volatile sideways movement and rapid premium decay
Traders should avoid emotional expiry trades and focus only on confirmed directional breakout setups with disciplined risk management amid elevated volatility.