Pre Market Report, May 24, 2017 | Stocks and Commodities

May 24, 2017
Time: 8.35 am

Pre Market Report:

1. US markets closed higher for 4 days in a row.
2. Asian markets are mostly higher though marginally.
3. But some markets are down due to local news.
4. China is down as downgrade news came for that country.
5. Indian markets fell due to border tension.
6. It was a knee jerk reaction yesterday in Indian markets.
7. A video clip was shown destroying terrorist camps in Pakistan.
8. Actualy the news came yesterday but the operation was on May 9.
9. Nearly 15 days ago the incidence has happened, so the possibility of Pakistan retaliation is very low after 15 days.
10. FIIs reaction was not that bad as they have sold for abot Rs 400 crores.
11. In fact, FIIs have bought for more than that figure in Index Futures and Stock Futures.
12. However DIIs continue to support the market.
13. Mid caps have come under severe selling pressuue.
14. Mid cap index fell more than 6% in the last few days.
15. Tata Motors came out with good results after market hours yesterday.
16. Tata Motors shares shot up by 5.4% in US.
17. Even when markets were under severe selling pressure, Auto index ended in Green yesterday.
18. That is likely to continue today.
19. Yesterday markets broke down key support level of 9380 due to the bad news.
20. But there may be some short covering rally today or tomorrow.
21. I expect expiry around 9480 if there is no further selling pressure.
22. Today Nifty future should take support at 9370.
23. Resistance will be at 9480.