Pre Market Report, November 11, 2015 | Stocks and Commodities

November 11, 2015
Time: 11 am

Pre Market Report:

1. US markets closed mixed with Dow and S& 500 marginally up and Nasdaq marginally down.
2. Yesterday FIIs have sold for Rs 662 crores and DIIs have bought for Rs 658 crores.
3. But markets fell drastically due to F&O short selling.
4. Nifty has come to the 'over sold' region.
5. Sensex has fallen 3.9% and Nifty fell 2.7% between last Deepavali and this Deepavali.
6. Only Auto, Pharma and FMCG are up, all other sectors fell.
7. Things are not likely to change for next 6 months.
8. There may be some meaningful upside only after March 2016.
9. meanwhile, FMCG and Pharma sectors also started correcting as valuations have become very rich.
10. So the only sweet spot is the Auto sectors.
11. Yesterday markets fell so drastically, all sectors fell except Auto which was up.
12. Particularly 4 wheelers are doing very well compared to two wheelers.
13. Today markets are open for Muhurat trading for one hour.
14. Markets are likely to move sideways.
15. There will be very little institutional participation.
16. FDI reforms announced yesterday is a positive news.
17. Axis Bank, Kotak Bank, Yes Bank may benefit as FII limit will be increased to 74%.
18. This time the fall was more in Nifty than Bank Nifty.
19. Bank Nifty has been out performing Nifty in the last few days.
20. If Bank Nifty starts falling, then Nifty might test a new low below 7500 in the next three to four weeks.
21. SGX Nifty is marginally higher.
22. Nifty future is expected to trade between 7780 and 7840.