Pre Market Report, March 30, 2016 | Stocks and Commodities

March 30, 2016
Time: 8 am

Pre Market Report:

1. Yesterday I went for Sun TV program and there was some problem with internet connection.
2. So I could not write "Pre Market Report" yesterday.
3. Yesterday our markets showed negative bias.
4. That was due to huge selling of about Rs 2500 crores by DIIs the day before in Cash market.
5. Pharma sector lead the fall, Lupin alone contributed 10 points fall in Nifty in the morning.
6. In the morning, 4 out of 5 bottom most stocks were Pharma stocks.
7. Pharma sector has given negative return in March while most sectors are up by over 10%.
8. Despite more than 120 points fall in Nifty in the last two days, Put option premiums did not shoot up in April.
9. People think this is just a small correction after such a huge run in the Nifty.
10. Nifty has the first support at 7400 followed by 7250.
11. Yesterday the selling intensity is reduced by DIIs.
12. Yesterday night Fed Chairman Janet Yellen spoke and US markets shot up.
13. Janet Yellen has never disappointed the markets.
14. Now SGX Nifty is trading around yesterday's high of 7675.
15. Short term bears are trapped by this huge gap up.
16. It will be good if Nifty expires around 7700 and Bank Nifty expires around 16000.
17. Markets are likely to be volatile due to huge selling by DIIs.
18. Today evening US Private Sector Payroll data will be released and that may impact the markets tomorrow as Yellen's speech impacts today's markets.
19. Today Nifty future should take support at yesterday's low.
20. Resistance will be at 7720.
21. Today or tomorrow, if 7720 is taken out, then Nifty will rise another 50 to 60 points due to short covering.