Pre Market Report, February 20, 2015 | Stocks and Commodities

February 20, 2015
Time: 8.25 am

Pre Market Report:

1. US markets closed mixed with Nasdaq up and other two indices down.
2. Asian markets are mixed.
3. Japan is trading at 15 year high, still less than half of what it traded in 1989.
4. SGX Nifty is almost flat at 8926 after hitting a high of 8945.
5. Usually close to the expiry markets will show high volatility and a sharp fall giving short sellers an oppourtunity to exit.
6. If we assume that yesterday's high volatility without any reason as the one that happens few days before expiry, from now until expiry, our markets should not show high volatility.
7. Nifty moved more than 90 points intraday almost every day in February series.
8. Bank Nifty made a move of more than 500 points on many days.
9. February series has another record, fell continuously for 7 trading sessions and then rose continuously for 7 trading sessions. But a lot traders would have lost huge amount of money.
10. Some big players are getting out of market fearing a big correction post budget.
11. The same people will reenter at higher level, if budget is positive for markets.
12. Due to this big people exit, intraday volatility is so high.
13. Today is Friday, it is difficult to predict Friday afternoon trade.
14. Markets may trade sideways with positive bias in the first half and then may move sharply higher or lower in the afternoon.
15. Action will continue outside the index like DVRs, Adani stocks, defense related stocks, etc.
16. Nifty future is expected to trade between 8880 to 9020.