Skip to main content

Pre - Market Analysis (30th Jan 2022)

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 gone through it in detailed , and had an overview of it.
16. If Adani somehow manages to lock their shares in upper circuit today.
17. The sentiment around people would change.
18. Now the game is only about sentiment  
19. As in the short run Market runs on sentiment.
20. If the shares ain't locked in upper circuit during first 30 minutes then there would again be a free fall.
21. Another problem which the group has is of pledged shares.
22. This group has taken loans from Bank and pledged their shares.
23. Say you pledge shares of 100rs , you get a loan of 80rs.
24. As long as shares are above 80rs bank doesn't react.
25. As it comes to 80 the Bank starts to sell shares in open market as they do not wish to risk their money.
26. So if shares keep falling today as well Banks will be afraid and that will trigger margin call.
27. I get a sense today that Adani shares could be locked in upper circuit.
28. There would be Management appearances over Media trying to gain trust of investors etc.
29. If it isn't locked in upper circuit today , then get ready for a major problem and collapse in markets.
30. Nifty might trade between 17400 to 17700 today.
31.stockmarketadvisory.in




































































































Comments

Popular posts from this blog

Pre - Market Analysis (13th October 2022)

U.S Markets closed mixed Yesterday. Dow futures are slightly higher right now  Asian Markets are mixed. Indian Markets are highly volatile between 16750 to 17400. Within this range markets have been making wild swings. Yesterday Nifty did retest 16950 and bounced back sharply from there. Yesterday it was a sharp recovery and Nifty closed at the highest point of the day. Today we have weekly expiry. Generally weekly expirys are volatile. 16950 to 17200 is the range for expiry. In case if we break any of the levels then we might get a larger move during the day  HDFC Bank will be delivering the results this weekend  Banking stocks are expected to deliver good results  Yesterday both the IIP and Inflation data came at negative. Inflation rose to 7.4% and Production also has recuced. So it's a double whammy on both fronts . Next leg of move will be decided by the results of the company's. Until then market is likely to stay sideways. Nifty might Trade between 16950 to 1

Pre - Market Analysis (3rd November 2022)

U.S Markets closed lower Yesterday. Right now Dow futures are higher. SGX Nifty is down 150 points. Asian markets are lower. Yesterday there was a Fed event in U.S Markets. General expectations were an increase of 75 basis points  Exactly the same happened and at 11.30 markets recovered sharply from lows  Then at 12 as Fed governer started speaking , it was a complete Hawkish statement. This induced lot of volatility and also selling pressure. U.S Markets closed at the low point of the day. Dow Jones fell 500 points. Although all this happened, U.S VIX didn't shot up It stayed flat. HDFC Bank ADR was down 2% yesterday. This could bring pressure in Bank Nifty. However I feel yesterday was an over reaction in U.S Markets. Markets should stabilize from today. 18000 is a strong support for the day. Previously as well many times Nifty went above 18k but couldn't sustain. Nifty might Trade between 17900 to 18150 today. stockmarketadvisory.in