Streetwhacks Learn · Sentiment

Put-Call Ratio (PCR): What It Measures in NSE Options

PCR is put open interest (or volume) divided by call open interest (or volume). It describes options crowding — not a standalone trade indicator.

Last updated: September 2026 · Reviewed quarterly · Data: live NSE derivatives feeds, 09:15–15:30 IST

What PCR measures

Relative put vs call positioning. High PCR = heavy put writing/positioning (often read as contrarian bullish crowding); low PCR = heavy call positioning. Always specify OI-based vs volume-based PCR — they answer different questions.

How it is calculated

  • PCR-OI = total put OI ÷ total call OI for the selected underlying/expiry.
  • PCR-volume = put volume ÷ call volume over the same window.
  • Refresh: continuously during market hours from live derivatives feeds. See methodology §6a.

What the numbers mean

  • PCR extremes describe crowding and potential for sharp reversals — context, not timing.
  • PCR rising with price: put writing supporting the move; PCR collapsing into a rally: late chasing.
  • Single-strike PCR is noisy; index-level, expiry-weighted PCR is more stable.

Limitations

  • PCR cannot distinguish hedging from direction; writers dominate index options.
  • Thresholds drift across regimes and expiries — fixed "overbought/oversold" PCR levels mislead.
  • Informational analytics, not investment advice. See disclaimer.

Example

Nifty PCR-OI at an elevated extreme into expiry while futures OI falls — covering, not fresh conviction. Traders reduce size and confirm on Index Pulse.

Related metrics

Open interest · Volume spikes · F&O guide · Methodology

PCR FAQs

What is put-call ratio?

Put OI (or volume) divided by call OI (or volume). It describes options crowding, not a standalone signal.

Is high PCR bullish?

Often read as contrarian bullish (heavy put writing), but hedging flows produce the same print. Confirm with price, OI change and trend.

PCR-OI or PCR-volume?

PCR-OI reflects positioning; PCR-volume reflects today's activity. Use both and state which you mean.