POLYCAB
Polycab India Limited
Max pain for POLYCAB
06 Sep 2024 04:10 PM IST
Max Pain for POLYCAB is 6700
Strike 5400 has a total call value of 0 versus a total put value of 79,437,500,000 Combined total value = 79,437,500,000
Strike 5500 has a total call value of 0 versus a total put value of 71,588,750,000 Combined total value = 71,588,750,000
Strike 5600 has a total call value of 0 versus a total put value of 63,740,000,000 Combined total value = 63,740,000,000
Strike 5700 has a total call value of 0 versus a total put value of 56,161,250,000 Combined total value = 56,161,250,000
Strike 5800 has a total call value of 0 versus a total put value of 48,617,500,000 Combined total value = 48,617,500,000
Strike 5900 has a total call value of 0 versus a total put value of 41,073,750,000 Combined total value = 41,073,750,000
Strike 6000 has a total call value of 0 versus a total put value of 33,530,000,000 Combined total value = 33,530,000,000
Strike 6100 has a total call value of 0 versus a total put value of 27,188,750,000 Combined total value = 27,188,750,000
Strike 6200 has a total call value of 0 versus a total put value of 21,906,250,000 Combined total value = 21,906,250,000
Strike 6300 has a total call value of 26,250,000 versus a total put value of 16,881,250,000 Combined total value = 16,907,500,000
Strike 6400 has a total call value of 82,500,000 versus a total put value of 12,661,250,000 Combined total value = 12,743,750,000
Strike 6500 has a total call value of 362,500,000 versus a total put value of 9,016,250,000 Combined total value = 9,378,750,000
Strike 6600 has a total call value of 995,000,000 versus a total put value of 6,110,000,000 Combined total value = 7,105,000,000
Strike 6700 has a total call value of 2,312,500,000 versus a total put value of 3,902,500,000 Combined total value = 6,215,000,000
Strike 6800 has a total call value of 4,680,000,000 versus a total put value of 2,100,000,000 Combined total value = 6,780,000,000
Strike 6900 has a total call value of 8,863,750,000 versus a total put value of 961,250,000 Combined total value = 9,825,000,000
Strike 7000 has a total call value of 13,930,000,000 versus a total put value of 18,750,000 Combined total value = 13,948,750,000
Strike 7100 has a total call value of 21,880,000,000 versus a total put value of 2,500,000 Combined total value = 21,882,500,000
Strike 7200 has a total call value of 30,075,000,000 versus a total put value of 1,250,000 Combined total value = 30,076,250,000
Strike 7300 has a total call value of 39,172,500,000 versus a total put value of 0 Combined total value = 39,172,500,000
Strike 7400 has a total call value of 48,270,000,000 versus a total put value of 0 Combined total value = 48,270,000,000
Strike 7500 has a total call value of 57,638,750,000 versus a total put value of 0 Combined total value = 57,638,750,000
Strike 7600 has a total call value of 67,911,250,000 versus a total put value of 0 Combined total value = 67,911,250,000
Strike 7700 has a total call value of 78,183,750,000 versus a total put value of 0 Combined total value = 78,183,750,000
Strike 7800 has a total call value of 88,456,250,000 versus a total put value of 0 Combined total value = 88,456,250,000
What is Max Pain?
Max pain, or the max pain price, is the strike price with the most open contract puts and calls - and the price at which the stock would cause financial losses for the largest number of option holders at expiration.
Calculating Max Pain
Max pain is a simple but time consuming calculation. Essentially, it is the sum of the outstanding put and call dollar value of each in-the-money strike price. For each in-the-money strike price for both puts and calls:
- Find the difference between stock price and strike price
- Multiply the result by open interest at that strike
- Add together the dollar value for the put and call at that strike
- Repeat for each strike price
- Find the highest value strike price. This price is equivalent to max pain price.
How can a trader benefit?
As the option expiration approaches, option writers will try to buy or sell shares of stock to drive the price toward a closing price that is profitable for them, or at least to hedge their payouts to option holders. Call writers sell shares to drive share price down and Put holders buy shares to drive share price up. The max pain strike price exists somewhere in the middle.