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Pre - Market Analysis (16th October 2020)

  1. US markets closed lower Yesterday.
  2. Yesterday when our Markets were Trading , U.S Futures were down more than a percent.
  3. Yesterdays closing in U.S was somewhat better.
  4. The reason why we fell so much Yesterday was some expiry related issues.
  5. All the Put writers were trapped as its the expiry.
  6. Which leads to a big crash.
  7. So expiry days if major levels get taken out one should expect big Moves.
  8. Asian Markets have recovered some of their losses.
  9. SGX Nifty is Trading near 11750.
  10. Volatility will be quite high until the U.S Elections.
  11. One should always hedge postions.
  12. Without hedge and without Stoploss it can create disaster.
  13. I know many Put writers who lost 30-35% of the Capital due to Stubborn attitude.
  14. Also Big sharp falls like Yesterday in Bull Markets is a great Opportunity to enter into.
  15. In Bull Market , Bears Generally have only 1 day to enjoy.
  16. Bulls come back swiftly and roaring.
  17. Last Expiry too (September End) Nifty crashed but then went up 1000 Points.
  18. Nifty might Trade between 11680-11840 today.


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