- 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 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
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