Max Pain Calculator
The market is rigged (sort of). Find the price level where Option Writers (Market Makers) lose the least amount of money.
Enter the Open Interest (OI) for major strike prices below.
| Strike Price | Call OI | Put OI | |
|---|---|---|---|
What is "Max Pain"?
The Max Pain Theory states that option prices will gravitate toward a specific price point at expiration that causes the maximum financial loss to the largest number of option buyers.
Why? Because for every option buyer, there is a seller (usually a Market Maker or Institution). These big players hedge their positions to minimize risk. As expiration approaches, the stock price often settles at a level where most Calls and Puts expire worthless, allowing the sellers to keep the premiums.
How to Use This Data
- Trend Reversal: If a stock is flying high but the Max Pain is much lower, expect a pullback as expiration nears.
- Support/Resistance: The Max Pain level often acts as a magnet. The price might oscillate around it.
- Expiration Day: This tool is most accurate on Thursdays and Fridays (for weekly options).
How We Calculate It
We take every strike price and calculate the total cash value of all Calls and Puts that would be "In The Money" if the stock closed at that strike. The strike price with the lowest total payout is the Max Pain.
Common Questions
Is this guaranteed?
No. News, earnings, and massive volume can easily break the Max Pain level. It's a probability tool, not a crystal ball.
Where do I get the OI data?
You can find Open Interest (OI) data on your broker's option chain (like Robinhood, Zerodha, or Thinkorswim) or on sites like NSE India or Yahoo Finance.