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Pre - Market Analysis (23rd December 2022)

  1. U.S Markets closed lower yesterday. 
  2. Asian markets are mostly lower.
  3. Dow futures are slightly higher right now.
  4. SGX Nifty is down 100-120 Points.
  5. Market texture has turned to Highly bearish now.
  6. Any gap up or short covering rally has been sold into aggressively.
  7. India VIX a week ago was at 13 & yesterday it went above 16.
  8. This indicates that the Volatility has also been rising.
  9. As the Volatility rises , so does the option premiums.
  10. Last expiry week is generally highly Volatile & the Gamma effect is also at its peak.
  11. This is due to many factors such as roll overs , expiration of all the contracts etc.
  12. Yesterday after market hours when I checked the data came another shock.
  13. FII's & DII's both were net buyers yesterday. 
  14. They have bought yesterday for combined 2000 crore plus.
  15. In spite of positive buy data markets closed lower yesterday. 
  16. 18000 PE has the highest open interest in monthly options.
  17. Today , 18000 is likely to be tested.
  18. If we break 18000 then we would be heading towards 17800.
  19. 18000 is the final hope for longs if anybody is still long on the markets.
  20. Below 18k , markets would continue to slide further.
  21. It's advisable not to carry positions over the weekend.
  22. Nifty might trade between 17900 to 18200 today.


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