F&O Buzzer | Balrampur Chini Mills throws a bunch of bullish signals; stock zooms 6%

Shares of Balrampur Chini Mills advanced 6 percent to Rs 397, led by massive demand for the stock, thanks to buzz around increase in export quota from 60 lakh tonnes for market year 2022-23.

The buzz comes after the Indian Sugar Mills Association (ISMA) recently commented that sugar production was estimated to fall 5 percent in the current marketing year (October September) to 340 lakh tonnes as more quantity of sugarcane juice is being diverted for the production of ethanol.

The stock price has not only crossed the 50-day and 200-day simple moving average (SMA), but has also moved to a high of the month, signaling a positive trend for the company.

Balrampur Chini Mills has also seen a surge in trading volume, which has reached the highest point of the week. This surge in demand is reflected in the open interest that jumped 16 percent to the highest of the week.

Delivery trades also climbed 84 percent, which in addition to the price action, shows positivity lingering around the stock. Rollover for the stock has also risen to their highest levels of the week.

Bars reflect change in OI during the day. Red bars show call option OI and green put option OI.

On the options front, 400 strike has seen heavy call writing as the level is emerging as local resistance. Meanwhile, 370 strike has seen heavy putt writing as it is emerging as fresh support for the stock.