Pre Market Report, August 30, 2013 | Stocks and Commodities

P R SUndar, Aditya Trading Solutions

August 30, 2013
Time: 7.30 am

Pre Market Report:

1. US market closed positively, but off days high.
2. Asian markets are trading with positive bias.
3. SGX Nifty is trading with slightly negative bias.
4. FIIs have sold only 250 crores in cash market, much less compared to thousand plus crores of selling in the previous sessions.
5. Expiry day FII data will have to be ignored due to the reversal of arbitrage trades.
6. Volatility fell by 9% to close below 30.
7. There will be huge resistance at 5500, which was the great support while falling.
8. Until Nifty crosses 5500, Nifty will move in sideways.
9. Today's GDP data, which is likely to be sub 5%, will add to the negative sentiment.
10. After a fall of 400 points and rise of 300 points, Nifty will have to move sideways before finding the direction to move.

Recommendation:

1. Sell Nifty 5000 Put and 5800 Call options simultaneously.
2. Sell Reliance 800 Put option.
3. Sell Infy 3400 Call option.
4. Sell Axis bank 700 Put option.
5. Sell bank Nifty 7500 Put option and 11000 Call option simultaneously.
6. Buy Tata Motors 300 Call option.
7. Sell HDFC 600 Put option

All these are positional trades. Not intraday trades. Intraday call will be taken after GDP data release.