Pre Market Report, November 26, 2013 | Stocks and Commodities

P R Sundar, Aditya Trading Solutions

November 26, 2013
Time: 8 am

Pre Market Report:

1. US markets have closed almost flat after a firm start.
2. Still it is a record close for US markets.
3. Yesterday's rally was expected but not the magnitude.
4. Since Nifty has shot up more than 100 points, markets will consolidate.
5. Since this is expiry week, consolidation will be with high volatility.
6. SGX Nifty is trading about 40 points lower.
7. Most Asian markets are down.
8. Hong Kong, China and Australia markets are in positive territory.
9. Nifty future should take support at 6080.
10. By looking at options data, Nifty is likely to expire between 6000 and 6200.

Recommendation:

1. Options data shows that Nifty is likely to expire between 6000 and 6200. So it will be safe to sell 5950 Put option, if Nifty goes down 30 to 40 points in the morning. Also sell 6250 Call as hedge.