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

September 7, 2017
Time: 8.45 am

Pre Market Report:

1. US markets closed higher.
2. US Debt ceiling issue has been resolved.
3. That was the main reason for upmove in US markets.
4. Asian markets are mostly higher.
5. South Korea is up after 5 straight day of losses.
6. SGX Nifty is trading about 25 points higher.
7. Nifty future has been trading between 9900 and 10000 with huge volatility.
8. HDFC Bank fell 3.5% in US daybefore yesterday but did not fall yesterday here.
9. We must remember that US ADRs are trading 10 to 15% premium to Indian shares traded in India.
10. So sometimes that premium comes down or goes up.
11. Option premiums are very low.
12. Despite market fall, Nifty 9800PE added more than 4 lakh shares in open interest.
13. Bank Nifty weekly options, 24000PE has the highest open interest among puts and 24500CE has the highest open interest among Calls.
14. About 5% of the open interest is because of me, I am holding about 50000 PE and CE out of about 10 lakhs open interest in both strikes.
15. Tata Motors will be in focus as strike is reported in their factory.
16. Coal India looking strong which is likely to move higher. It has consolidated for a long time at lower levels.
17. PSU Banks are still looking very weak.
18. Maruti is looking very strong. I sold 7400PE and 8300CE both for about Rs 25 in the last few days.
19. We can expect a rangebound trade but Bank Nifty will show some volatility due to weekly expiry.
20. Nifty future may trade between 9920 and 10000.