Skip to main content

Pre - Market Report (16th March 2020)

  1. Violent actions in Stock Markets since Friday morning.
  2. Our markets closed at lower circuit along with Soth Korea and Japan on Friday & during the 45 minutes closure, European and US futures shot up.
  3. Once we began to trade again, markets shot up.
  4. LIC reportedly pumped in large amount of money to support the market & also all Shorts were trapped which led to huge Short covering.
  5. Nifty future fell 1300 points then shot up 1800 points.
  6. Once our markets closed, action began in US markets.
  7. Trump announced Emergency in U.S through which it will help to release lot of money to fight against Corona & Dow ended 10% higher.
  8. Next day, Apple announced closure of all its stores outside China.
  9. Today Morning the biggest surprise came from Fed as Fed cut rates by 1%. It also announced QE of 700 billion and other liquidity measures.
  10. Other G7 countries also seems to be coordinating.
  11. Despite all these measures, US futures fell 5% to hit lower circuit.
  12. But some Asian markets are higher.
  13. Asia is mixed. Japan and South Korea are up while other markets are down.
  14. SGX Nifty is down by 400 points.
  15. I Strongly Believe interest rate cut is not a Long Term Solution to fight Global Pandemic. In the past whenever Emergency rate cuts have happened Stock Markets in the longer run have reacted Negativity to it.
  16. SGX Nifty is totally confused and decided to trade at Thursday's closing level.
  17. Meanwhile, YES Bank restructuring news came as a Shocker.
  18. Those who are holding more than 100 shares, can not sell more than 25% of their holding for next 3 years. So it's like an Fixed Deposit with Zero Value after 3 Years.
  19. These kind of restrictions has never happened in India, not only in India, in entire world.
  20. China Manufacturing data came very bad at minus 13.5%.
  21. But Asian markets seems to have factored in that news.
  22. Markets are not reacting after this news.
  23. FIIs have sold for Rs 6000 plus Crores in Cash market.
  24. Market volatility is here to stay for some more time. VIX has reached 57+ levels.
  25. If you have no positions, best way is to keep away from markets.
  26. Wait for India VIX to fall below 30, to resume Trading.
  27. US cut rates by 50 basis point a week before and another 100 basis point now.
  28. Many other countries also have done that.
  29. Will India do the same? That has been going on in Everybodys mind for the last one week.
  30. Meanwhile, SEBI seems to be considering a Ban on Short selling and Intraday Trading.
  31. But in the past, this kind of measures helped markets to go lower rather than helping it to Stabilise.
  32. Futures of both the Indices have already been Trading at 50-60 points Discount. In Futures you would hardly make few points in Index moves after your Entry
  33. Option Contracts are already trading at huge Premiums because of VIX. So if you expect any extreme Moves buy OTM Call Options.
  34. Friday (March 13) rally of 17% from Lows Shouldn't fool you as a Trader , that was just a recovery rally . Still Everything hasn't not been solved so it remains sell on rally Market.
  35. When I say not to trade in these sort of Markets they don't realise it.
  36. After losing Money they feel guilty and say "that they shouldn't have Traded".
  37. Over the Weekend , I have almost Received 80+ Messages of Traders who have lost Everything & have become Bankrupt. Mostly the Traders trading in Futures. They couldn't square off their Positions when Markets hit Lower Circuit & by the time they Squared off their Positions it was too late.
  38. Others lost Money because of Gambling Mindset & not doing Risk Management.
  39. Do not try any Adventures. Avoid Futures Trading as high Movements are being Witnessed in matter of Seconds. 

Kindly WhatsApp your Comments at 07719887348.
Feedback & Constructive Critisizm are always Welcome😀


Popular posts from this blog

BJP Falls short of Majority (5th June 2024)

1.U.S Markets closed higher Yesterday  2. U.S Futures are trading higher now. 3. Asian markets are higher. 4. Global cues are positive currently. 5. U.S Markets have made a short term bottom and now have reversed. 6. Gift Nifty is up more than 100 Points. 7. Yesterday was a big surprise to everyone. 8. Contrary to the exit Poll , things have been changed dramatically.  9. Exit Polls indicated a cakewalk win for the BJP. 10. Reality of the Ground level was entirely different. 11. There is BJP Govt forming but with a Coilition Govt. 12. Coilition Govt changes many aspects. 13. Firstly , the Govt cannot take decisions on its own. 14. It has to get approval of other parties as well. 15. This would hamper the growth prospects and future plans. 16. Last 10 years , the Government had come with a simple majority. 17. They worked freely. 18. This is a way good for democracy 19. One Govt dominating is not good for the Country , now everyone has to work for welfare of Country. 20. Com

U.S Markets firing 🔥 (8th Feb 2024)

1. U.S Markets closed higher Yesterday. 2. U.S Markets are trading at their all time high on daily basis. 3. S&P 500 is now at 5k. 4. This has been a stellar show across the globe. 5. We have an Election Year in the U.S as well. 6. As you might not be aware more than 45% U.S citizens invest in stock market. 7. So for the Government to have a good impression and to gain vote Bank stock market have to be kept higher. 8. Government and FED will do what all they can to keep pro markets  9. Bank Nifty showed signs of comeback yesterday but the rally failed again. 10. Largecap stocks continue to underperform whereas Mid & Small caps continue to soar new highs. 11. Once a trend develops in the markets it can go on for a long time than expected. 12. Interestingly , I was doing some number crunching yesterday and found that small & mid cap companies have given better than expected results than large caps. 13. Most of the large caps have disappointed. 14. Star of the pack

Consolidation (2nd August 2023)

1. U.S Markets closed mixed Yesterday.  2. Dow Jones closed mildly in Green. 3. Rest of the indices closed lower. 4. Right now , Dow Futures is lower. 5. Gift Nifty is down 40-50 Points. 6. Asian markets are mostly lower as well. 7. It's a sort of Consolidation going on in the markets. 8. Markets are trading flat in between 19600 to 19800. 9. Within this range , Nifty is swinging like a pendulum. 10. Bank Nifty range is 45300 to 45800. 11. Both the Indices are moving at tandem. 12. Yesterday's expiry was quite flat. 13. FIN Nifty traded flat for whole of the expiry. 14. All option buyers in FIN Nifty lost huge. 15. Markets are likely to consolidate for few more sessions. 16. 19600 is the buying zone. 17. 19800 is the selling zone. 18. Unless we don't get any signs of range breakout we won't have to take one side view  19. Nifty might trade between 19600 to 19800 today. 20. Post this fed rate hike markets have become dizzy. 21.