Pre Market Report, February 19, 2016 | Stocks and Commodities

February 19, 2016
Time: 8 am

Pre Market Report:

1. US markets closed lower due to marginal profit booking after three days of huge run.
2. Asian markets are also trading the same way.
3. So SGX NIfty is also trading marginally lower at 7160.
4. I will not be surprised if our markets close in Green at the end of the day out performing the other markets.
5. That is because we have been under performing for the last few days.
6. From Monday to Wednesday, Dow was up by 6% whereas Nifty was up only 1%.
7. What changed today for our markets is the FII buying.
8. FIIs have been selling heavily for the last two weeks and they have turned net buyers that too for over Rs 400 crores in Cash market.
9. In F&O also, they have taken bullish view.
10. Nifty 7220 is acting as good resistance and that has to be taken out.
11. That may happen either towards the end of the day or next week.
12. If 7220 is crossed now, Nifty will move to 7320 quickly.
13. For now it seems that Nifty 7000 will be the floor.
14. Nifty 7300 Call has nearly 59 lakh shares in open interest and hence 7300-7320 will be the resistance level.
15. Today's last one hour of trade is very important to decide the trend, we need to see further short covering to take the markets higher.