Pre Market Report, June 4, 2015 | Stocks and Commodities

June 4, 2015
Time: 8.50 am

1. US and European markets closed positive.
2. Asian markets are mixed.
3. SGX Nifty is trading flat with positive bias.
4. Institutional selling was not as bad as expected.
5. FIIs have sold for about 700 crores and DIIs have bought for about 500 crores.
6. So there was a net selling of only about 200 crores.
7. Panic was created by a rumour that Unitech will default on its loan repayments.
8. All the high debt stocks crashed anywhere between 10% and 40% yesterday.
9. Mostly Infra and Real Estate stocks fell.
10. One should avoid Power, Real Estate, Metals, Infrastructure and Oil and Gas.
11. Rupee is likely to trade above 64.
12. Next trigger is the Greece issue which will be reflected in our markets on Monday.
13. Most analysts predict Nifty level below 8000 which may not happen if Greece issue resolved amicably.
14. But Greece issue being solved amicably is very difficult.
15. Whether Monsoon sets in or not will also be clear on Monday.
16. So markets may consolidate today and tomorrow and the next direction will be claer only next week.
17. Nifty should take support at yesterday's low of 8100.
18. Resistance will be at 8220.