--- title: "Friday's Board Was Built For A Rally And | The Tanmay Edge" description: "Friday's option board was built for a rally: calls bought back, puts written, volatility crushed. It took the market one session to take the whole thing" source_url: "https://www.rupeecase.com/podcast/episodes/2026-09-08" --- The Tanmay Edge, Season 2, EP120 # Friday's board was built for a rally and it took one session to take the whole thing apart 659 lakh calls written, 189 lakh puts covered, I am still buying the dip into 23,600 with an expiry target of 23,900 6.59 crore calls written and 1.89 crore puts bought back in a single session * **10:34**listen * **3/5**graded at settlement * **Tue 8 Sep 2026**aired, Season 2 Now playing Friday's board was built for a rally and it took one session to take the whole thing apart EP120, 8 Sep, 10:34 1x 0:00Chapter marks are estimated from the notes10:34 The host did not serve the audio here. Listen on [Apple Podcasts](https://podcasts.apple.com/us/podcast/the-tanmay-edge-indias-pre-market-edge-5-minutes/id1824088016) or [Spotify](https://open.spotify.com/show/0F755kaD5hggGDjy26Sz33). 01Scorecard ## 3/5 at settlement. **3/5**60% **The call.** 6.59 crore calls written and 1.89 crore puts bought back in a single session The exact mirror of Friday, when 1.07 crore calls were covered and 2.90 crore puts written PCR collapsed from 0.844 to 0.556, one session undoing four days of writing The 23,900 call landed high 23,890, never touched, by 10 points The 23,900 put went 59.85 to 128.80 and 75.84 lakh of open interest came off Infosys was called as the IT tell and fell 3.76 percent Nifty closed 23,779, opened 23,883, high 23,890 in the first minutes, low 23,737 Breadth 13 up and 37 down in the Nifty 50, 1,096 up against 1,760 down overall The Sensex low was not its close, ending a four session * **2**Hit * **1**Partial * **0**Mechanical * **2**Miss Graded the next trading day, 9 Sep 2026, against NSE settlement. The grader's noteGraded Wed 09 Sep against the Tue settlement 23,635. The direction was wrong. The target of 23,900 needed an outsized day and never came, the high stopped at 23,758, and the iron fly held into settlement paid out its full published maximum. What was right was everything around the trade. The plan named 23,700 as the level that decides it and named 23,650 and 23,600 as the sidelines levels below: the market broke early, the low printed 23,623 and it settled 23,635, between the two. And the cap was published before entry, so a losing day cost a known number rather than an open one. Direction wrong, risk right. Three on five. [The whole season, graded](/podcast/#trail)[September 2026 archive](/podcast/2026-09/)[Methodology](/track-record) 02In this episode ## 7 chapters, the numbers pulled out. 1. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the 2. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the 3. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the 4. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the 5. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the 6. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the 7. **07**The plan: a squeeze case, not a drift caseI am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the Cold open: Friday built it, Monday tore it down **1.89**Calls were written Last week, Friday's option board was built for a rally. Calls bought back, puts written, volatility crushed. Every signal pointing towards a gap up on Monday. It took the market one session to take the whole thing apart. Yesterday, 6.59 crore calls were Read the chapter The receipt: the 23,900 call landed **24,000**Not whether we take **23,900**Whether we reclaim **10 points**Never touched **59.85**Put went One thing first, briefly, because I put it on record yesterday. I said the first question was not whether we take 24,000, it was whether we reclaim 23,900, and that if we failed there the people who wrote the puts at that strike on Friday were in deep trouble. Read the chapter The tape: out of IT and into pharma **23,779**Nifty closed **23,890**Made high **23,737**Day going **1,096**Inside the Nifty The Nifty closed 23,779, down half a percent. It opened at 23,883, made a high of 23,890 in the first few minutes and spent the rest of the day going down, to 23,737. Thirteen up and 37 down inside the Nifty 50, and 1,096 up against 1,760 down across the full Read the chapter The board: one session undid four days of writing **6.59**Call open interest rose **1.89**Put open interest fell **0.844**Call ratio went **1.07**Exact opposite Call open interest rose 6.59 crore, put open interest fell 1.89 crore, and the put call ratio went from 0.844 down to 0.556. On Friday it was the exact opposite, 1.07 crore of calls covered and 2.90 crore of puts written. One session undid four days of Read the chapter The pin: both sides defend one price **23,800**Max pain stands **21 points**Pain stands **12 percent**Stands just below **144 points**Standard deviation Max pain stands at 23,800, only 21 points above where we closed, and the same strike took the largest call build of the session. So it is the magnet and it is the first obstacle in the way of anything higher. Implied volatility stands just below the 12 percent Read the chapter Positioning: the crowd sold into the fall **7.16**Put book went **2 lakh**Futures short went **50,000**Short went to lakh **280 crore**Foreigners actually bought And one thing that should worry you and me as well. The retail naked put book went from 7.16 lakh to 8.89 lakh. They sold 1.73 lakh more puts in a single session. That is the most worrying part, into a falling market on the eve of expiry, a new high for this Read the chapter The plan: a squeeze case, not a drift case **23,760**Marginally lower open **23,790**Lower open **23,700**Buying the dips towards **23,600**Carries lakh puts I am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the expiry is buying the dips towards 23,700, with the target at 23,900, above that magnet and into positive gamma territory. That buy zone is the real Read the chapter 03The notes ## Chapter by chapter. ### *01*Cold open: Friday built it, Monday tore it down Last week, Friday's option board was built for a rally. Calls bought back, puts written, volatility crushed. Every signal pointing towards a gap up on Monday. It took the market one session to take the whole thing apart. Yesterday, 6.59 crore calls were written and 1.89 crore puts were bought back. And I am still buying the dip, with the target above all of it. ### *02*The receipt: the 23,900 call landed One thing first, briefly, because I put it on record yesterday. I said the first question was not whether we take 24,000, it was whether we reclaim 23,900, and that if we failed there the people who wrote the puts at that strike on Friday were in deep trouble. The high was 23,890. It never touched it, by 10 points. The 23,900 put went from 59.85 to 128.80, more than doubling, and 75.84 lakh of open interest came off as the writers bought themselves out. I also said Infosys being down 3.23 percent in New York was the tell for IT. Infosys fell 3.76 percent yesterday over here. ### *03*The tape: out of IT and into pharma The Nifty closed 23,779, down half a percent. It opened at 23,883, made a high of 23,890 in the first few minutes and spent the rest of the day going down, to 23,737. Thirteen up and 37 down inside the Nifty 50, and 1,096 up against 1,760 down across the full market. The Sensex fell the same half a percent, and its low was not its close, ending a four session streak. India VIX is back above the 11 mark. Nifty IT fell 2.28 percent and it was not one name, it was ten of ten across the board. The other side was also violent. Anuh Pharma plus 12.21 percent, Sakar plus 10.37, Star plus 10.04, Themis Medicare plus 10.04, Hikal plus 9.54, Solara plus 9.49, IOL Chemicals plus 7.72. Thirty five pharmaceutical names up more than 2 percent, the most of any industry. So the money did not leave the market. It walked out of IT into pharma in one session. ### *04*The board: one session undid four days of writing Call open interest rose 6.59 crore, put open interest fell 1.89 crore, and the put call ratio went from 0.844 down to 0.556. On Friday it was the exact opposite, 1.07 crore of calls covered and 2.90 crore of puts written. One session undid four days of writing. Strike by strike: 23,800 is the biggest one, and 1.51 crore calls were written into it in a single session. 23,900 took 1.19 crore calls and 23,850 took 1.07 crore. They sold calls at every strike from 23,750 up to 24,000. And on the put side, 23,900 lost 75 lakh puts, 23,950 lost 41 lakh and 24,000 lost 27 lakh. So they bought back every put written on Friday. ### *05*The pin: both sides defend one price Max pain stands at 23,800, only 21 points above where we closed, and the same strike took the largest call build of the session. So it is the magnet and it is the first obstacle in the way of anything higher. Implied volatility stands just below the 12 percent mark, which is normal for the day before. One standard deviation is around 144 points and the 23,800 straddle implies about 160. And one more thing that closes a story I have run all week. The September basis is at 88 points. That run was 34, then 85, then 126, then 150. Yesterday it gave back 62 points in one session. But the futures open interest rose by seven lakh. So this was fresh selling at a lower premium, not unwinding. I kept saying the cash had never validated that premium. The futures came to the cash. The cash did not rise. ### *06*Positioning: the crowd sold into the fall And one thing that should worry you and me as well. The retail naked put book went from 7.16 lakh to 8.89 lakh. They sold 1.73 lakh more puts in a single session. That is the most worrying part, into a falling market on the eve of expiry, a new high for this run, and Friday's reduction lasted exactly one day. The pros flipped back to net short calls, the eighth flip in 12 sessions. The foreign futures short went to 2 lakh 50,000, another run high, in a book that has been rising every single session. In cash the foreigners actually bought 280 crore, the first buying day in a while. Overnight, GIFT Nifty is at 23,802, down 24 points. The Dow futures are down 0.63 percent and have kept falling from minus 0.4 yesterday evening. And Asia has cooled: the KOSPI is still up 1.75 percent, but the Nikkei has come back to plus 0.3 from plus 2.08 and Taiwan to plus 0.03 from plus 1.64. The North Asia surge we were not part of has burned itself out in one session. Brent is back to 97, so oil has paused, and the yen is up another 2 percent at 153.16, the biggest single currency move of this run. ### *07*The plan: a squeeze case, not a drift case I am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the expiry is buying the dips towards 23,700, with the target at 23,900, above that magnet and into positive gamma territory. That buy zone is the real support on the board: 23,700 carries 94 lakh puts and 23,600 carries a crore. It also sits a full standard deviation below the pin, so you are being paid to wait for it. Do not chase the open, let it come to you. Now let me be straight about the target, because it is not a free lunch. 23,900 is around 121 points from yesterday's close, one standard deviation is 144 and the straddle implies 160. So the lower half of the target is inside a normal day's move and the upper half needs an outsized one. And here is the obstacle: those 1.51 crore calls written at 23,800 sit directly in that path. So max pain is below my target. The option board is not positioned for 23,900, it is positioned against it. Which is exactly why, if we get there, those writers become the fuel. That is a squeeze case, not a drift case. The structure I am holding is an iron fly: selling the 23,900 body and buying a 23,700 put and a 24,100 call. The credit at the close is roughly 130, the max loss around 70, so one to 1.8, with maximum profit exactly at 23,900, the bottom of my target, and the whole target zone in profit. It gets better if the dip comes. I am holding this into the settlement, not scalping it, so size accordingly. Below 23,700 I am staying on the sidelines. And today is an expiry into a cash session, so close your positions by 3:15 without fail, and do not carry any naked position, neither the long nor the short side. 04Key takeaways ## 24 things to carry into the session. * *01*6.59 crore calls written and 1.89 crore puts bought back in a single session * *02*The exact mirror of Friday, when 1.07 crore calls were covered and 2.90 crore puts written * *03*PCR collapsed from 0.844 to 0.556, one session undoing four days of writing * *04*The 23,900 call landed: high 23,890, never touched, by 10 points * *05*The 23,900 put went 59.85 to 128.80 and 75.84 lakh of open interest came off * *06*Infosys was called as the IT tell and fell 3.76 percent * *07*Nifty closed 23,779, opened 23,883, high 23,890 in the first minutes, low 23,737 * *08*Breadth 13 up and 37 down in the Nifty 50, 1,096 up against 1,760 down overall * *09*The Sensex low was not its close, ending a four session streak * *10*Nifty IT fell 2.28 percent with ten of ten names down * *11*35 pharmaceutical names up more than 2 percent, the most of any industry * *12*Anuh Pharma plus 12.21, Sakar plus 10.37, Star and Themis Medicare plus 10.04 * *13*23,800 took 1.51 crore calls in one session, the biggest build on the board * *14*Calls sold at every strike from 23,750 up to 24,000 * *15*Max pain 23,800 sits only 21 points above the close * *16*The September basis gave back 62 points to 88 after a 34 to 150 run * *17*Futures open interest rose seven lakh, so fresh selling not unwinding * *18*Retail naked put book rose to 8.89 lakh, a new run high for the run * *19*They sold 1.73 lakh more puts into a falling market on the eve of expiry * *20*Pros flipped back to net short calls, an eighth flip in 12 sessions * *21*FII futures short to 2,50,093, another run high, while buying 280 crore of cash * *22*The yen up another 2 percent at 153.16, the biggest single currency move of the run * *23*Target 23,900 is 121 points away against a 144 point one SD and a 160 point straddle * *24*Plan on record: buy dips to 23,700, iron fly body 23,900, flat by 3:15 without fail Show all 24 05In his words Friday's option board was built for a rally. It took the market one session to take the whole thing apart. The high was 23,890. It never touched it, by 10 points. The 23,900 put went from 59.85 to 128.80, more than doubling, and 75.84 lakh of open interest came off as the writers bought themselves out. 06Transcript ## The full episode, in text. Read the transcript Reading mode Copy link 1,153 words, about 5 min to read A very good morning, guys. Last week, Friday's option board was built for a rally. Calls bought back, puts written, volatility crushed. Every signal pointing towards a gap up on Monday. It took the market one session to take the whole thing apart. 89 crore puts were bought back. And I am still buying the dip, with the target above all of it. This is The Tanmay Edge. You are listening to episode 120 of season 2. I am Tanmay Kurtkoti. Let's go. So one thing first, briefly, because I put it on record yesterday. I said the first question was not whether we take 24,000, it was whether we reclaim 23,900, and that if we failed there the people who wrote the puts at that strike on Friday were in deep trouble. The high was 23,890. It never touched it, by 10 points. 84 lakh of open interest came off as the writers bought themselves out. 23 percent in New York was the tell for IT. 76 percent yesterday over here. The tape. The Nifty closed 23,779, down half a percent. It opened at 23,883, made a high of 23,890 in the first few minutes and spent the rest of the day going down, to 23,737. Thirteen up and 37 down inside the Nifty 50, and 1,096 up against 1,760 down across the full market. The Sensex fell the same half a percent, and its low was not its close, ending a four session streak. India VIX is back above the 11 mark and bounced back nicely. 28 percent and it was not one name, it was ten of ten across the board. The other side was also violent. 72. Thirty five pharmaceutical names up more than 2 percent, the most of any industry. So the money did not leave the market. It walked out of IT into pharma in one session. And the board, now the part that decides today. 556. 90 crore of puts written. One session undid four days of writing. Strike by strike. 51 crore calls were written into it in a single session. 07 crore. They sold calls at every strike from 23,750 up to 24,000. And on the put side, 23,900 lost 75 lakh puts, 23,950 lost 41 lakh and 24,000 lost 27 lakh. So they bought back every put written on Friday. So max pain stands at 23,800, only 21 points above where we closed, and the same strike took the largest call build of the session. So it is the magnet and it is the first obstacle in the way of anything higher. Implied volatility stands just below the 12 percent mark, which is normal for the day before. One standard deviation is around 144 points and the 23,800 straddle implies about 160. One more thing, guys, and it closes a story I have run all week. The September basis is at 88 points. That run was 34, then 85, then 126, then 150. Yesterday it gave back 62 points in one session. But the futures open interest rose by seven lakh. So this was fresh selling at a lower premium, not unwinding. I kept saying the cash had never validated that premium. The futures came to the cash. The cash did not rise. And one thing that should worry you and me as well. 89 lakh. 73 lakh more puts in a single session. That is the most worrying part, into a falling market on the eve of expiry, a new high for this run, and Friday's reduction lasted exactly one day. The pros, or the professional traders, flipped back to net short calls, the eighth flip in 12 sessions. And the foreign futures short went to 2 lakh 50,000, another run high, in a book that has been rising every single session. In cash the foreigners actually bought 280 crore, the first buying day in a while. And overnight, GIFT Nifty is at 23,802, down 24 points. 4 yesterday evening. And Asia has cooled. 64. The North Asia surge we were not part of has burned itself out in one single session. 16, the biggest single currency move of this run. So the plan, and I am constructive today with a caveat. A flat to marginally lower open near 23,760 to 23,790. My view for the expiry is buying the dips towards 23,700. The target remains 23,900, above that magnet and into positive gamma territory. That buy zone is the real support on the board: 23,700 carries 94 lakh puts and 23,600 carries a crore of puts. It also sits a full standard deviation below the pin, so you are being paid to wait for it. Do not chase the open, let it come to you. Now let me be straight about the target, because it is not a free lunch. 23,900 is around 121 points from yesterday's close. One standard deviation is 144 points and the straddle implies 160. So the lower half of the target is inside a normal day's move and the upper half needs an outsized one. 51 crore calls written at 23,800 yesterday sit directly in that path. So the max pain is below my target. The option board is not positioned for 23,900, it is positioned against it. Which is exactly why, if we get there, those writers become the fuel. That is a squeeze case, not a drift case. So what we are going to look at is the level of 23,720 to 23,700. If 23,720 and 23,700 keep holding, the target remains. And the structure I am holding is an iron fly. Selling the 23,900 iron fly and buying a 23,700 put and a 24,100 call makes sense for the trade. 8. The breakevens are 23,750 and 24,000. And the support is already inside the payoff zone by five and a half points. Maximum profit sits exactly at 23,900, which is the bottom of my target, and the whole target zone is in profit. It gets better if the dip comes, because entering near 23,750 and below, above 23,700, would make the credit closer to 140 to 150, whereas the risk reward would be almost two to one. So in that case enter it, but with a better reward, and you should do it when the market is sliding down. I am holding this into the settlement, not scalping it, so size accordingly. Below 23,700 I am staying on the sidelines and looking for 23,650 and 23,600 getting hit. com. So if you liked this podcast, guys, share it with one trader friend who needs it right now. com in the podcast section. Also, today is an expiry into a cash session, so close your positions by 3:15 without fail. Do not carry any naked position, neither the long nor the short side. Remember this, without fail. And see you all once again tomorrow, guys. Until then, have a happy expiry and safe trading. Questions ## EP120, in plain words. What does EP120 of The Tanmay Edge cover?EP120, Tuesday 8 Sep 2026, 10:34, in 7 chapters: Cold open: Friday built it, Monday tore it down; The receipt: the 23,900 call landed; The tape: out of IT and into pharma; The board: one session undid four days of writing; The pin: both sides defend one price; Positioning: the crowd sold into the fall; The plan: a squeeze case, not a drift case. How did the calls in EP120 score?Grade 3/5 (60 percent): 2 hit, 1 partial, 0 mechanical, 2 miss. Graded the next trading day, 9 Sep 2026, against NSE settlement. Is The Tanmay Edge investment advice?No. It is market commentary for education only, not a recommendation to buy or sell any security. RupeeCase is not a SEBI registered investment adviser, and strategy figures on RupeeCase are model, back tested. 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