Pre Market Report, April 26, 2017 | Stocks and Commodities

April 26, 2017
Time: 8.20 am

Pre Market Report:

1. US markets recorded another all time high.
2. Nasdaq closed above 6000 for the first time.
3. Dow crossed 21000 intraday but closed slightly lower than 21000.
4. This is on the expectation of lower corporate tax rate to be announced by Trump.
5. Asian markets are generally bullish.
6. SGX Nifty is trading above 9310, more than 15 points higher.
7. BUt one has to be cautious, there may be expiry related volatility.
8. But any intraday dip is a buying opportunity.
9. India VIX is all time low.
10. Today Axis Bank results are due.
11. That may add volatility to Bank Nifty.
12. Day before yesterday I sold 21500, 21400, 21300, 21200, 21100, 21000 Puts and that was a rewarding decision.
13. Yesterday I sold 21800, 21700, 21600 and 21500 Puts and closed Puts of 21000 and below.
14. Since those options were sold in the morning, right now sitting with good profits.
15. As long as there is no gap down, I will be able to put stop losses for those options.
16. For two clients I have sold even 22000 Put option at Rs 135 and that closed at Rs 89.
17. The main reason why I dared to sell Put options across the spectrum is the significant discount of Bank Nifty future over Bank Nifty spot.
18. Sun TV will be in focus as TTV Dinakaran has been arrested.
19. Axis Bank will be in focus ahead of results.
20. Reliance will also be in focus after results elated profit booking.
21. L&T seems to be doing very well, on its way to 1800 as I reported earlier.
22. People started talking of capex cycle reviving, corporate results picking up, so it is time for Capital Goods stocks to do very well.
23. So BHEL will also be in focus.
24. Only IT and Pharma seems to be not doing well.
25. Nifty future may take support at 9280 looking at the very bullish set up.
26. Resistance may be at 9380.
27. If there is any further short covering, we can expect Nifty to expire around 9380.