Post Market Report, January 11, 2015 | Stocks and Commodities

January 11, 2015
Time: 10.15 pm

Post Market Report:

1. Markets opened in panic mode and Nifty fell below 7500 for the first time in the last one year.
2. Then markets recovered due to DII buying.
3. Then markets became so volatile due to China market's fall, Crude oil fall, Russian market's fall, etc.
4. But Europe recovered and Nifty finally managed to close above 7550.
5. Tata Motors was up as JLR sales were good.
6. Maruti was up as Japan currency depreciated.
7. Reliance was up due to short covering.
8. TCS fell ahead of its results.
9. Dr Reddy hit fresh 52 week low.
10. People have totally written off the PSU Banks, PSU bank index fell more than 2%.
11. Next was the IT pack which fell by about 1.5%.
12. China closed more than 5% down.
13. But the real worry now come from US, Nasdaq has fallen by more than 10% in 2016.
14. Though our markets have recovered the outlook remains cautious.
15. Markets should stabilise, if not rise, at least for two to three trading sessions.
16. Today also VIX was up by more than 5%.
17. There is no leadership for the market, only Reliance can not lift the markets.
18. Today Nifty recovered after testing 7500.
19. If Nifty closes below 7500, then that will be the signal for more bearishness.
20. Next support will be at 7200 followed by 6900.
21. If the markets recover from here, then Nifty may consolidate in the region 7500-8300 for next few months.
22. Disturbing factors: (a) US markets are not showing any strength, (b) China continue to trouble the world markets (c) FIIs have sold for more than 1000 crores for three consecutive days this January, last time it was in January 21011, we know what happened in 2011 after that (d) Our markets are facing huge crisis once in every 8 to 9 years, in 1991 it was Harshad Mehta scam, in 2000, it was dot com bubble, in 2008, it was US economic recession, in 2016, What?
23. Positive factors: (a) Lower crude oil is good for India, (b) Budget Expectation (c) GST expectation.
24. So be ready for volatile sessions for few more days.