Pre Market Report, April 23, 2014 | Stocks and Commodities

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April 23, 2014
Time: 8.30 am

Pre Market Report:

1. US markets rose for 6th day in a row.
2. Asian markets are mostly up.
3. China manufacturing index came slightly lower than expected.
4. It came at 48.3 against the expectation of 48.4.
5. SGX Nifty is trading almost flat.
6. But all these are relevant only for the first half.
7. Second half will be volatile as traders either square off the positions or roll over the positions.
8. If everything goes as expected, Nifty should expire above 6800.
9. Banking stocks will be in focus again as Yes Bank declares results today.
10. Also two Banking heavy weights, Axis Bank and ICICI Bank, declaring results tomorrow.
11. So there will be lot of speculative activity in these stocks and hence Bank Nifty.
12. Bank Nifty May series 14600 Call option is trading around Rs 200.
13. This means, people who buy these option will make money only if Bank Nifty crosses 14800 by end of May. (Assuming they are holding until expiry)
14. Nifty should take support at 6800 and resistance will be at 6880.