Pre Market Report, March 31, 2017 | Stocks and Commodities

March 31, 2017
Time: 8.55 am

Pre Market Report:

1. US markets closed higher.
2. But Asian markets are mixed.
3. Both China and Hong Kong have been under performing in the last few days.
4. That is dragging the sentiment down in Asia.
5. SGX Nifty is almost flat, though it was higher by about 30 points last night.
6. Yesterday both FIIs and DIIs were net buyers.
7. The surprising factor was DII buying of over Rs 1000 crores.
8. DIIs are buying so aggressively nearer to all time high proves that lot of money started flowing to mutual funds.
9. This rally is lead by domestic money, that is why markets closed near all time high despite huge short selling by FIIs in stock futures.
10. The effect of FII money will become less significant if this domestic trend continue for some more time.
11. Yesterday Bank Nifty shot up by more than 200 points in the last half an hour.
12. That was mainly due to HDFC Bank.
13. HDFC bank hit a fresh all time high.
14. Banking stocks are in very good shape.
15. April series has only 18 trading sessions.
16. But this series will be a volatile one as corporate results kick in in the second week of April.
17. Even in April, I think Nifty 9000 will be a very strong support.
18. I expect Nifty to trade between 9000 and 9500 in April.
19. So I plan to sell Nifty 9000 Put and 9500 Call.
20. Bank Nifty looks more bullish.
21. Bank Nifty may trade between 20500 and 22500.
22. RBI policy will be a key event next week.
23. Otherwise usual data like Auto and Cement monthly sales data, Manufacturing and Service PMI data, IIP and Inflation data, US jobs data, etc will guide the markets.
24. Today Nifty future will face resistance at 9230.
25. Support will be at 9120.