Pre Market Report, December 26, 2016 | Stocks and Commodities

December 26, 2016
Time: 8.25 am

Pre Market Report:

1. US markets closed marginally higher on Friday in thin trading due to holidays ahead.
2. Most Asian markets are closed due to Christmas.
3. Among the markets open, China and Japan are down and South Korea and Taiwan are up.
4. SGX Nifty has traded between 7940 and 8005.
5. PM's speech about getting more tax from stock markets is confusing.
6. FM says it is misintepretted but he did not tell how to interpret correctly.
7. If they are not not going to introduce Long Term Capital Gain Tax, then how are they going to get more money from markets.
8. Once again some uncertainty, markets do not like ucertainty.
9. On Friday, FIIs have sold for Rs 1462.65 crores in Cash market, Rs 653 crores in Index futures.
10. However DIIs have bought for Rs 1615 crores in Cash market.
11. From today, FII selling may slow down.
12. Despite markets breaking below 8000, highest open interest among Puts is still at 8000.
13. So markets feel that the downside is limited from from here.
14. Nifty future may trade between 7900 and 8100 until expiry.
15. Axis bank is looking very weak, closed at the lowest level on Friday.
16. Luckily HDFC Bank is showing some strength, that is why Bank Nifty did not fall much.
17. Bank Nifty may take support at 17800.
18. Markets will be highly volatile due to (a) PM speech, (b) F&O expiry and (c) Low volume.
19. First one hour of trade is important as markets will digest the PM's speech.
20. Thereafter markets will stabilise and trade rangebound.
21. Nifty future may tarde between 7940 and 8020.