Pre Market Report, September 30 | Stocks and Commodities

P R Sundar, Aditya Trading Solutions

September 30, 2013
Time: 8 am

Pre Market Report:

1. US debt talk, no solution yet. US Govt. is likely to shut down from tomorrow. That is going to be very bad for markets. In case if there is any last minute solution by today, we will be lucky.
2. Italy Govt. collapse due to the withdrawal by Berlusconi is adding fuel to the fire.
3. Chinese PMI data also came lower than estimated. It came at 50.2 vs expectation of 51.2.
4. All Asian marketa are trading about 1% down except China.
5. European and US futures are trading about 1% lower.
6. SGX Nifty is trading at 5822, about 65 points lower.
7. CAD data to be released today after the markets close will add to the volatility. CAD below 5% is ok, above 5% is bad for the market.
8. Most technical analysts are of the opinion that if cash Nifty falls below 5800, it will go down to 5600 to 5650.
9. Today, opening itselt it will be well below 5800.
10. Nifty future will be bearish if it does not stabilize above 5820 after initial commotion.
11. Friday, both FIIs and DIIs sold in cash market and that is also negative for the market.

 Recommendation: 

1.  Sell Nifty 6000 Call.
2. Sell Bank Nifty 11000 Call option. 
3. Sell USDINR 60 put option.
4. Sell SBI 2000 Call option.