Pre Market Report, June 23, 2016 | Stocks and Commodities

June 23, 2016
Time: 8.20 am

Pre Market Report:

1. US markets closed lower yesterday night.
2. But a recent opinion poll shows that "Remain" in Brexit is leading by 8 points.
3. After this news, Asian markets turned positive.
4. US futures are also up after this news.
5. Europe is also likely to open positive in the afternoon.
6. SGX Nifty is also trading slightly positive.
7. All the good news from India are ignored right now.
8. Once this Brexit issue is over, if "Remain" people win, then Nifty will move higher towards 9100 in the next few months.
9. I will not be surprised if Nifty expire around 8500 by the end of this expiry.
10. The volatility will be higher in today's trade and tomorrow's trade here in India.
11. The last one hour of trade is very important today.
12. I am planning to buy Puts if Nifty future moves above 8250 and plan to buy some Calls if Nifty future moves below 8180.
13. Nifty future found resistance at 8253 for the last two days, so that is an important level to watch.
14. If that level is taken, then Nifty future will move towards 8300.
15. I will not be surprised if Nifty future closes above 8300 today.
16. The "Greed and Fear" will dominate the markets today.
17. Smart people have already hedged by buying Puts when VIX was low and hence panic selling is ruled out.
18. India VIX is likely to move higher towards the end of the day.
19. Yesterday CBOE Vix was up by 15% but our India VIX was up just by 5%.
20. Tomorrow, on one side option premiums will collapse like anything.
21. Tata Motors is likely to move higher today.
22. Banking stocks will be in focus due to weekly expiry of Bank Nifty.
23. Even yesterday Bank Nifty future traded at a significant discount to Spot compared to premium in the previous day.
24. So be ready for a roller coaster ride today and tomorrow morning.