Skip to main content

Pre - Market Report (20th March 2020)



  1. US markets have Stabilises Yesterday & for the first time in last 10-15 Trading Sessions it has not moves more than 5%.
  2. Asian markets are all positive.
  3. SGX Nifty hit a low of 8000 yesterday night, now trading almost flat.
  4. Yesterday our markets experienced worst volatility.
  5. In first 3 minutes Bajaj Finance fell 20%, then shot up 20% only to fall 10%.
  6. 50% move in just one trading session, that too for a bluechip stock.
  7. Same was the case with many other stocks like HDFC Twins, Kotak Bank etc.
  8. Nifty fell 700 points then shot up 700 points and then fell 300 points.
  9. That is a total swing of about 20%.
  10. FIIs continue to sell at an amount of 4000 to 5000 crore.
  11. This kind of selling has not happened even in 2008.
  12. Now commodities also moving violently.
  13. Crude down 25% one day, 25% up next day.
  14. Coming to today's trade. I am expecting some Recovery/ short covering today.
  15. PM hinted some stimulus by saying 'Economic Task Force" headed by FM.
  16. Govts all over the world are taking some steps.
  17. So it will make sense for short sellers to cover the shorts today (and to short again on Monday morning) so as to avoid loss due to any big gap up.
  18. They are not likely to lose, as markets are at very low level, possibility of gap down is very low.
  19. Though markets were very bad, stocks like HDFC Bank closed in Green yesterday.
  20. Moreover, we can expect LIC to enter again today afternoon, to support the market.
  21. We have fallen almost 4400 Points on Nifty from it's all time high of 12400. Won't be Surprised if we can recover for 500-600 Points from here on.
  22. Incremental Shorting is not Adviced at current levels as your risk / reward doesn't favour.
  23. Trading for a Bounce / Pullback rally has risk /reward ratio of 1:3 which I prefer to Trade.
  24. However , im a Trader and I may be Wrong and have every right to change my Positions when I am wrong , so if my plan is not being respected by the Market I may alter it.
  25. Finance Minister may at anytime announce STIMULUS PACKAGE for Corona Virus this Weekend. Also there would be a whole lot of news related to Corona Virus so always Adviced not to carry fresh Positions over the Weekend.
  26. stockmarketadvisory.in

Comments

Post a Comment

Popular posts from this blog

Reversal from 20k (24th July 2023)

1. U.S Markets closed lower on Friday. 2. Dow Jones was flat. 3. Nasdaq was the underperformer. 4. Gift Nifty is down 30-40 Points. 5. Asian markets are mostly lower as well. 6. Friday the Nifty opened with a gap down of 200 points. 7. Within the next 10 minutes , Nifty recovered 100 points. 8. Bulls expected recovery is on the cards but Nifty started to Crack. 9. Bank Nifty was holding up Nifty for most of the while. 10. It couldn't be able to provide much of a support and Bank nifty also began to correct. 11. The issue now is market has had vertical rallies. 12. One way quick rallies so now the downfall will also be vertical. 13. When markets go up quick , they come down quicker. 14. Infy dragged the mood and also HUL didn't post extraordinary results so it was also a laggard. 15. Banks tried hard to hold the markets but couldn't. 16. Over the weekend , AU Bank and icici bank reported very good numbers. 17. These banks have already rallied a lot before results
Post a Comment
Read more

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
Post a Comment
Read more

Finale Expiry Week (19th May 2023)

1. U.S Markets closed  higher yesterday.  2  Right now , Dow Futures are slightly higher. 3. SGX Nifty is higher by 40-50 Points. 4. Asian Markets are higher. 5. Yesterday was a strange trading day. 6. I say strange because SGX Nifty pre market was showing 30-40 point gap up opening. 7. Nifty opened around 120 points higher. 8. This was a huge gap up out of nowhere. 9. So naturally it was an excellent shorting opportunity.  10. The Volatility again yesterday was super high. 11. Nifty tested the previous day low of 18100 once again yesterday.  12. There was an intense selling during the last 30 minutes yesterday.  13. Surprisingly,  INDIA VIX hasn't inched higher in last 3 days of extreme sell off. 14. This shows that there is lesser panic in the markets right now.  15. Currently,  we have a good risk - reward trade opening up on Nifty. 16. 18100 looks as a double bottom being made on Nifty for the short term. 17. There are fever indications for the same  18. One could g
Post a Comment
Read more