Pre Market Report, November 13, 2013 | Stocks and Commodities

P R Sundar, Aditya Trading Solutions

November 13, 2013
Time: 8.30 am

Pre Market Report:

1. Currency fear is ruling the markets now.
2. Today Nifty cash will break 6000 and Indian Rupee may break 64 both psychological levels that can create panic selling.
3. Rupee is trading at 63.98 in overseas markets now.
4. Inflation and IIP data are adding fuel to the fire.
5. As we have reported earlier, Nifty futures should have taken support at 6120 yesterday, but it failed. Now the next support for Nifty futures is at 5920.
6. Also most of the results are out and most of the key data also out for this month, for next two to three weeks markets will not bounce back significantly.
7. The next big trigger will be the election results on December 8.
8. The only consolation is that FIIs continue to buy no matter what the market level is.
9. China has failed to come out concrete plan for economic liberalisation program for the next decade as expected.
10. Today's afternoon market may see a slight bounce as traders will like to square off their positions due to the holiday tomorrow.

Recommendation:

1. Sell Nifty 5600 Put option and 6400 Call option which closed at Rs 5.80 and Rs 7.80 yesterday.
2. Sell Cipla 450 Call option.