Pre Market Report, March 15, 2017 | Stocks and Commodities

March 15, 2017
Time: 8.15 am

Pre Market Report:

1. US markets closed lower.
2. Asian markets are mostly lower.
3. But we are on a different trajectory.
4. We have been under performing the world markets for more than 3 months.
5. When most world markets were trading at one year high, we were trading at one year low.
6. That has to be adjusted and that was the primary reason why I said even if state election results were not favourable, still Nifty will test all time high in 2 to 3 months.
7. Fortunately, poll results are favourable, I siad Nifty will test all time high in 2 to 3 days but tested the very next day.
8. On Monday, our markets were closed and SGX was open and hence most of the FIIs who shorted here have hedged their positions in Singapore.
9. That was the main reason why there was no panic yesterday.
10. It was such a surprise, for most part of the day, Nifty was trading within a small range of about 30 points.
11. India VIX crashed by more than 11% and hence option premiums have collapsed.
12. FIIs have bought heavily both in Cash and F&O markets.
13. SGX Nifty is trading around 9120.
14. So we can expect some positive bias to continue despite not so good global cues.
15. If Nifty future starts trading firmly above 9020, then it can move towards 9080.
16. That is the resistance level for today.
17. But markets may not move significantly due to US Fed meeting.
18. We can expect some big moves tomorrow or day after tomorrow.
19. When economy turns around, Capital Goods sector is the first sector to revive.
20. Yesterday both L&T and BHEL shot up significantly.
21. After a long time, L&T became one of top 3 gainers in Nifty.
22. If that is the case, we can expect economy to recover and stock markets to do well in the next one year.