- US markets closed slightly positive yesterday.
- Right now , U.S futures are also Trading higher.
- SGX Nifty is Trading near 15000.
- Yesterday in the first half our Markets fell Drastically.
- It slowly started to recover in the second half.
- The issue right now is the India VIX.
- India VIX keeps rising as there is a fall in the Market.
- Friday it was up 8%.
- Yesterday up 4%.
- Option prices are very high currently due to higher VIX.
- Volatility is also extreme.
- Moves are very fast and violent.
- Calls above 15200 have been written aggressively.
- Do not expect Market to go much higher from here at least for this expiry.
- 14500 PUT also has good amount of open interest.
- So not expecting Nifty to go below 14500.
- Nifty might Trade between 14860-15080 today.
- stockmarketadvisory.in
U.S Markets closed higher yesterday. Asian markets are higher. SGX nifty is up 150 points. Yesterday was a very tricky and unexpected session. As soon as Market opened there was a continuous selling. Market was falling left , right and center without taking any support. I was wondering why is the Market going against the global cues Then we got the news about RBI Governer press conference. So some informed people already knew about this rate hike. Hence there was a sudden selling in the markets. RBI hiked repo rate by 40 basis points and Cash Reverse ratio by 50 basis points. Repo rate is the rate at which banks borrow money from RBI. When the rate is increased banks borrow money at higher cost and in turn loans also get costlier. This slows down the growth and liquidity in the Market temporarily. Cash reserve ratio is the interest free deposit money which banks have to keep with RBI. RBI uses that money without having to pay any interest on it. Increasing CRR means RBI is
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