Pre Market Report, October 5, 2017 | Stocks and Commodities

October 5, 2017
Time: 8.55 am

Pre Market Report:

1. US markets closed at all time high yet again.
2. But Asian markets are mostly flat.
3. Yesterday due to short covering both Nifty future and Bank Nifty future commanded higher premium at the end of the day.
4. That premium may come down today.
5. That is why SGX Nifty is trading 15 to 20 points lower.
6. Nifty future may fall slightly but Nifty may not fall correspondingly.
7. Nifty has retraced 50% of the downfall from 10178 to 9685.
8. Now Nifty may consolidate for next one week as there are no big triggers.
9. Next big trigger will be corporate results starting from October 12.
10. On October 12, during market hours IndusInd Bank will declare results that will set the trend for Bank Nifty.
11. On the same day evening TCS will declare results.
12. This time Infosys is declaring results very late, on 24th October.
13. Yesterday was a good day for Option sellers as Vix has come down and Bank Nifty did not make any big move.
14. Highest open interest among Bank Nifty puts is at 24500.
15. That is a bullish set up.
16. In my opinion, markets may consolidate for few days and if IndusInd Bank results are good, then Nifty will test 9980, a fibbonacci retracement of 61.8%.
17. For today Nifty future may trade between 9880 and 9980.
18. Bank Nifty weekly expiry may add volatility.