Pre Market Report, May 12, 2013 | Stocks and Commodities

May 12, 2013
Time: 8.15 am


Pre Market Report:

1. US markets gave up entire gains made in Tuesday.
2. Dow fell 217 points.
3. But the fall was due to poor corporate results, not because of any economic data.
4. Asian markets are falling.
5. SGX Nifty touched a low of 7835 and now trading around 7865.
6. DIIs have bought for Rs 730 crores in Cash market while DIIs have sold for Rs 362 crores.
7. FIIs have sold about Rs 1000 crores in futures market and bought about 300 crores in options.
8. Options data is difficult to interpret as we do not know whether this buying is Put option buying or Call option buying.
9. Yesterday Kotak Bank came with good results.
10. Bank Nifty out performed Nifty yesterday.
11. There is huge buying in Axis Bank, which has been moving higher is the last few days.
12. If buying comes in ICICI Bank, then all private sector banks will be in bull mode.
13. IndusInd, Yes Bank are already trading at all time highs.
14. Kotak and HDFC Bank are very close to all time highs.
15. Tomorrow evening Bank of Baroda will declare results.
16. SBI and BoB results are very important not only for Bank Nifty but also for Nifty.
17. Banking stocks will be in focus as Rajya Sabha passed Bankruptcy bill.
18. DrReddy will be in focus as it declares results today. 
19. Volatility will continue to be higher for few more days due to Tax Treaty issue.
20. Even normal selling by FIIs will be interpreted as selling due to Tax Treaty.
21. On April expiry, Nifty was at 7850, after 9 more trading sessions, still it is at the same place.
22. Asian markets are going through one of the worst correction as many of these markets are falling continuously for the last 10 trading sessions.
23. So we are actually out performing most Asian markets this month.
24. Monsoon is likely to hit Kerala two days days ahead of schedule.
25. Nifty is stuck in a range of 7780 and 7920.
26. But I expect breakout next week, if Bank of Baroda results are good.
27. Global cues need to change for a significant higher move by Nifty.
28. Today Nifty future is expected to trade 7780 and 7920.
29. If 7920 is crossed, next target will be 7980.
30. Bank Nifty is likely to out perform Nifty today also.
31. Reliance, ITC and Infosys are the three stocks that are under performing that is preventing Nifty from breaking out.