Pre Market Report, January 10, 2018 | Stocks and Commodities

January 10, 2018
Time: 8.45 am

Pre Market Report:

1. Dream run continues in US.
2. Asian markets are mixed.
3. SGX Nifty is almost flat.
4. FIIs were net sellers in Cash market after two weeks of buying.
5. However DIIs have turned net buyers in Cash market.
6. Highest open interest among Puts is at 10400 with 69 lakh shares in open interest.
7. This is a high figure, indicating the bullishness of the market.
8. We are going into the results season with optimism.
9. Markets may be nervous and choppy ahead of key results.
10. Tomorrow IndusInd Bank will declare results during market hours, TCS after market hours.
11. On Friday Infosys will declare results after market hours, IIP data and CPI inflation data will also be out after market hours.
12. So the real action will begin only next week.
13. As far as I remember, this is the first time, highest open interest among Calls is far away, where the premium is less than Rs 5.
14. Whereas highest open interest among Puts is at 10400 whose premium is more than Rs 35.
15. That too the volume is 50% higher at 10400 compared to the volume at 11000CE.
16. Banking stocks are showing some kind of activity, but restricted to smaller private sector banks.
17. If HDFC Bank and ICICI Bank start showing some activity, we can expect good momentum in Bank Nifty.
18. Until then Option sellers will happily eat the premiums.
19. For the last 5 months, those who sold both 25000PE and 26000CE made lot of money.
20. Let us this this time whether Bank Nifty breaks 26200.
21. I am also having lot of 24000, 24500, 25000PE and 26000CE.
22. Oil is on boil. Heading towards US$70.
23. So we can expect weakness in Auto stocks, particularly Maruti.
24. Nifty may be choppy and rangebound.
25. Nifty future may trade between 10600 and 10680.