- U.S Markets closed lower on Friday.
- Right now Dow futures are higher.
- Asian markets are mixed.
- SGX Nifty is almost flat.
- There were many developments over the weekend so I'll write them one after the other.
- Firstly , there has been Covid Resurgence in Germany and Australia.
- Some of them have announced full lockdowns again due to which U.S Market fell.
- In India as well , few doctors pointing out that last 8 days cases have been rising.
- Secondly , Reliance has cancelled the Saudi Aramco deal.
- Now we know why Reliance was falling everyday.
- Insiders get the news before handed and I feel it has been priced in.
- Now its not the time to sell Reliance as it has already fallen.
- Third major development is the waiver of Farm laws.
- Our Prime Minister , Narendra Modi apologized in media and waived the farm laws.
- Many are pointing this out as Election move etc etc. Let's not get into politics and just analyse from Stock Market perspective.
- Before the previous Union Elections , BJP was finding it difficult to get back their mojo as people were unhappy with Govt.
- Due to Demonitisation , GST , RERA all business community was unhappy against BJP and FII's were consistently selling during this time.
- Then after Surgical strike the things changed.
- FII's believed BJP could come into power and then they started buying and that led to big rally.
- Will it happen this time as well?
- I don't think so.
- Surgical strike almost locked BJP victory but farm law waiver doesn't.
- PM apologies in Media should be taken as a democratic reaction etc but there's also another dimension to it.
- If the decision was incorrect why it wouldve been proposed to be implemented in the first place?
- There is another fear that if it was done for Beneift of our Country then in future as well such strict laws if people agitate could be taken back.
- There are 2 sides of the same coin.
- So I don't think this would bring a positive sentiment we can just hope it doesn't bring a negative sentiment else FII's could go on a selling spree.
- I'm bearish on the Market and Im looking to sell the pullback rallies today.
- Rallies near 17820-17860 can be sold into with a stoploss of 17900.
- 17700 could act as the first support today but if this breaks we might test 17600 today itself.
- Bank Nifty showing signs of stability from past few days.
- But due to such huge news over the weekend we have to see what are the implications.
- Nifty might Trade between 17600 to 17900 today.
- stockmarketadvisory.in
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
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