Pre Market Report, April 7, 2017 | Stocks and Commodities

April 7, 2017
Time: 8.55 am

Pre Market Report:

1. US attacked Syria airfield with Cruise missiles.
2. This is in response to Syria's chemical attack in the rebel held areas earlier.
3. After this news broke out, Dow fell more than 100 points.
4. Most Asian markets are down, Oil is up, safe heaven bonds are up.
5. SGX Nifty hit a low of 9189 but recovered and trading around 9220.
6. Auto and Oil marketing stocks may be under pressure.
7. US has informed Russia about missile attack.
8. As of now, there seems to be no escalation of tension.
9. So the negative response by the markets may be limited as long as there is no escalation.
10. Nifty falling 50 - 60 points in nothing when it is trading at a peak.
11. Moreover, Nifty has shot up from 7900 to 9250 in a short span of time.
12. I guess, even this fall will be used as an opportunity to buy at lower levels.
13. Capital goods stocks are firmly in bull grip. 
14. If Capital Goods sector is doing well, then in 6 months time all other sectors are likely to do well.
15. In fact, strong capital goods sector is an indication of a bigger bull run in the next 6 - 12 months.
16. There may be profit booking in stocks that run up very fast in the last few days.
17. Otherwise, there is nothing to worry.
18. Still I guess, Nifty will be trading between 9000 and 9500 until the end of this month.
19. Nifty future may take support at 9180.
20. Resistance will be at 9280.