Infy Results, Game Cahnger? January 13, 2017 | Stocks and Commodities

January 13, 2017
Time: 8.40 am

Pre Market Report:

1. US markets recovered after falling in the first half of yeaterday's trade.
2. Asian markets are mixed.
3. Just after market hours yesterday, TCS came out with decent set of numbers.
4. Later in the evening, IIP data and Inflation data also came much better than expected.
5. Now markets are waiting for Infosys results which are likely to be announced just before the market open.
6. SGX Nifty is trading firmly in Green, now it is trading at 8448.
7. If Infosys results are good, we can talk about Nifty level of 8400 - 8520.
8. After Infosys results, focus will shift to Reliance which will declare results on Monday.
9. Yesterday I sold TCS 2100 Put at Rs 7.50 and 2300 Call at Rs 7.50 as I am expecting TCS not to make any big move today.
10. In fact, for the first time I saw such a huge premium in TCS.
11. Yesterday FIIs have sold for Rs 13 crores in Cash market but bought huge quantities in Index futures and Stcok futures.
12. From 7900, markets are rising above 7400 without any support of FIIs in Cash market.
13. This is a big change in the mindset of our retail people who usually follow FIIs.
14. IT stocks will be in focus today.
15. Maruti will also be in focus as Ignis is being launched today.
16. I am not expecting any big move in Infosys, since I am having 3000 Nifty long in one of my clients account, I went short 2 lots in Infosys at 975 and sold 2 lots of 980 Put at Rs 25 and 4 lots of 960 Put at Rs 25 and two lots of 900 Put at Rs 8. This is not done in one day, done in the last 3  to 4 days.
17. As long as Infosys is trading between 950 and 1050, a 5% swing on either side) I am safe.
18. I will be happy, if the move is one the higher side.
19. Today I avoid predicting the range for Nifty due to Infosys results.
20. Now 7900 will be a very strong support and one can sell Put options starting from 7800.