@Piyuush Let me try to explain if I succeed :
>Let's say there were heavy put buyers (short sellers ) in FnO as you have seen for the last few days . This was definitely done to hedge ,meaning to secure the position in case share price goes down then they get benefitted and loss due to the allotment through FPO is compensated.
> Now when monthly expiry is nearing one need to keep heavy margins with brokers in anticipation of volatility in share price , which is evident too . As the price of shares goes up , coupled with FnO ban too, the put buyers are in trouble due to fall in premium as well as call buyers pushing the price up. For every monthly expiry one need to square off the position i.e., both put and call buyers as well end up at zero holding . As there is spurt and rush to square off, the price is bound to go up .
> All this drama happens in FnO only and not in cash, as later is consequence of the former event .
> Can call buyers start selling and bring the price down due to square off . Yes it is possible and nothing can be ruled out .
> To get better picture it will be interesting to look at OI data when out of ban which actually indicate what level put buyers and call strikes are written . Volumes and RSI are another 2 indicators to look at how price movement behaves .
Let's wait with fingers crossed but today's activities suggest that it's gonna go up