Pre Market Report, January 10, 2017 | Stocks and Commodities

January 10, 2017
Time: 8.40 am

Pre Market Report:

1. US markets closed mixed.
2. Dow and S&P 500 were down and Nasdaq was up.
3. Asian markets are mostly flat with some positive and some negative bias.
4. SGX Nifty is slightly higher.
5. Usually in the first week of January markets make decissive move.
6. This time all over the world markets are moving sideways.
7. FIIs were net sellers in all three segments, Cash, Index futures and Stock futures.
8. DII buying is also slowing down.
9. Bank Nifty will be in focus as IndusInd Bank declares the results today.
10. IndusInd Bank and Yes Bank moved higher significantly in the last few days.
11. So any bad news in results will be bad for these stocks.
12. Bank Nifty will breakout or breakdown depending on IndusInd Bank results.
13. Nifty has consolidated foe two days after a big move.
14. If this is only a consolidation, then the sideways move should not last more than 3 days.
15. Markets are down significantly due to the fear of bad corporate results as a consequence of Demonetisation.
16. So IndusInd Bank results are very important to see the effect of Demonetisation on corporate results.
17. If Nifty future crosses 8320, then Nifty future will head towards 8480-8520.
18. That will happen if corporate results are good.
19. So today's trade and Friday's trade (due to TCS and Infosys results) will decide the direction of the market.
20. I bought Bank Nifty 18000 Put and sold Bank Nifty 17800 Put double the quantity.
21. Bank Nifty is likely to take support at 17800 for this series.
22. Markets are likely to be volatile as European futures are trading lower.
23. Nifty future may trade between 8240 and 8320.