Skip to main content

Pre - Market Report (18th March 2020)


  1. US markets moved more than 4% positive or negative for 6 consecutive sessions in 1929 Great Depression.
  2. Yesterday it moved 4%, for the 6th consecutive session & now DOW futures are down more than 4%.
  3. This crisis is bigger than 2008 Financial crisis.
  4. SGX Nifty is trading between 9000 and 9100.
  5. In three trading sessions, FIIs have sold for US$2 billion.
  6. That is a huge selling.
  7. DIIs are actively supporting the markets.
  8. Option premiums are very high as India VIX keep increasing.
  9. Nifty 7700PE, least strike available, trading around Rs 40 even for tomorrow expiry.
  10. Bank Nifty 20100PE, least strike available, trading around Rs 290 for tomorrows expiry.
  11. I do not remember seeing this kind of premiums even in 2008. People are BEARISH to their neck.
  12. But in F&O, data looks encouraging as FIIs are covering their short positions, writing puts.
  13. As of now, SGX Nifty down suddendly to 8900.
  14. Continue to watch DOW futures, if that goes to lower circuits, more panic will come in India.
  15. On any bounce, time to unwind long positions.
  16. We may be in for a prolonged bear market.
  17. Things may change if Corona Virus disappears but this may take lot of time.
  18. Until then it's better to be Cautious & On any bounce, sell Call options, in small quantities.
  19. Yesterday we held 9000 levels on Nifty for 3/4ths of the day but in last 30 mins huge selling pressure led to break down of 9000 on Nifty. More Weakness likely to appear on both the Indices.
  20. Corona Virus is a Big issue that whole World is facing now & problems will keep Accentuating in near future.
  21. Rather than Banning Short Selling , advice for SEBI would be to reduce Trading hours.
  22. In 2008 , all the Indices fell by more than 50% , Nifty is down 30% from all time highs.
  23. If this is 2008 or much worse than 2008 , we can witness Trading near 7000-6500 levels in coming Future.
  24. I have just been selling Call Options for now.
  25. Premiums are attractive & being Expiry Tomorrow the decay will be very Quick.
  26. I do not see any better way than Selling Call Options in these Kind of Volatile Markets 
  27. India has 140 reported Cases of Corona Virus whereas U.S has 5000 reported Cases of the Same. Being the 2nd most Populous Country having just 140 cases creates uneasyness.
  28. With only 13 lakh people tested we needs to improve our Testing Mechanisms so that we tackle this Immediately or this can cause a scare in coming time.
  29. Upcoming 2 Weeks are highly Crutial for India. Trend shows that Corona Virus is at its Peak in 4th & 5th week & India is Approaching into the same.
  30. Just read some reports and got to know that after Development of VACCINE it takes atleast 3 Months to test the same. So Vaccine Cure for Corona Virus is a long way ahead.
  31. 8600 is the next Support on Nifty & it's just a matter of time it gets taken away.
  32. Try to sell into Rallies / Pull Backs they will come. Selling into a 200-300 Points gapdown creates high risk.


Comments

Post a Comment

Popular posts from this blog

Pre - Market Analysis (30th Jan 2022)

1. U.S Markets closed higher on Friday. 2. Right now , dow futures are lower. 3. Asian markets are mixed. 4. SGX Nifty is up 30-50 Points. 5. There's no point discussing Global markets today. 6. As we are dealing with our own local issues as of now. 7. The talk of the town is Adani Group. 8. Every stock Market participant during last 2 days have not spent as much time with their wife /gf /husband /bf as they have spent on researching Adani stocks. 9. They shouldn't have wasted so much time in research and should've spent their time with loved ones. 10. As Ultimately my Pre Market report would clear all. 11. Now , the Adani stock price has gone below the FPO price. 12. FPO price is in the range of 3100-3200 and stock price is around 2800  13. Who will subscribe to FPO when they can buy shares much cheaper from the Market? 14. Also over the weekend Adani has come up with a 450 page report addressing one by one the allegations made by Hindenberg.  15. I haven't
Post a Comment
Read more

Pre - Market Analysis (16th June 2022)

U.S Markets closed higher Yesterday. Right now Dow futures are higher by 140 points. Asian markets are higher. SGX nifty is indicating a gap up opening. Yesterday as anticipated Fed increased the interest rates by 75 basis points. This is the largest increase since 1994. There was a relief rally due to the same in U.S market and U.S VIX crashed 10%. How long will this relief rally go on is a big question. Our Markets were terrible yesterday. Everybody is shorting left , right and center. Yesterday all Put options premiums raised in last 30 mins. Even 15200 PE which is 500 points away from spot rose from 4rs to 13rs. Today we might get some short covering as we open and even head higher. 16000 should be a firm resistance for the day. I won't chase this gap up because when Market reverses it's with great speed. I'll look to short near 15950-15980 with a stoploss of 16020. In Bear markets the rallies sre quite ferocious but again markets make fresh lows. So remembe
Post a Comment
Read more

Pre - Market Analysis (18th August 2022)

U.S Markets closed Flat Yesterday. Asian markets are mixed. SGX Nifty is close to 17940 right now. Yesterday markets broke out of 17900 and now are closer to 18000. 18000 is important as 18000 CE has the highest open interest. Highest amount of calls have been written for 18000 CE strike price. Plus round figures always act as psychological resistance too. Today is the weekly expiry and as of now the range is 17800 to 18000. 17800 is a strong support level and 18000 might act as resistance. Markets will gain steam once 18000 is taken out. Today could be a side-ways expiry. But nothing can be said as markets can always surprise you. IT Index has crossed 30k. Sensex yesterday hit a landmark of 60k. Sensex and Nifty both are now just 3% away from all time highs. So this isnt just a Bull Market , it's a raging Bull Market. India VIX closed below 18 yesterday. Bank Nifty is close to important levels of 40k. Once these important levels are taken out then we move towards all t
Post a Comment
Read more