- U.S Markets closed flat yesterday.
- Asian markets are mostly mixed right now.
- SGX Nifty is flat.
- Nifty is likely to have a flat opening today.
- Since last many days , Nifty is opening flat.
- If I'm not wrong , today will be the fifth straight day of flat opening.
- Yesterday was a decent expiry until 2 pm.
- After that a sudden down move spiked up premiums.
- Expiry moves are common this way.
- Volatility is utmost after 2 pm.
- So I book out of my positions early and don't wait for 2nd half.
- Markets are likely to consolidate in the short term.
- We do not have any fresh news or triggers to break out of a range etc.
- Markets are likely to consolidate before giving further upmove.
- Individual stock specific moves are continuing meanwhile.
- Banking sector momentum is likely to continue.
- Generally the final week of expiry is of the highest Volatility.
- As all the monthly positions of options and futures get squared off.
- Stock options also get squared off and this leads to added Volatility.
- Nifty might trade between 18300 to 18500 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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