Pre Market Report, January 11, 2018 | Stocks and Commodities

January 11, 2018
Time: 8.25 am

Pre Market Report:

1. US markets opened lower but recovered most of the losses to close marginally lower.
2. Asian markets are mostly lower.
3. SGX Nifty is also lower by about 15 points.
4. We may not follow global cues today.
5. In fact we did not follow global cues for the last few months.
6. Highest open interest among Puts is now at 10500.
7. The base has shifted to 10500 from 10400.
8. Nifty 10500PE has more than 75 lakh shares in open interest which is a high figure.
9. Yesterday 4 out of the top 5 gainers are from IT pack.
10. This happens ahead of TCS and Infosys results.
11. Yesterday all private sector banks were down but IndusInd Bank was up ahead of its results.
12. Traders mostly are bullish about corporate results.
13. bank Nifty has been under performing for the last few weeks.
14. That may change if IndusInd Bank declares good results.
15. Bank Nifty has been making less than 100 point moves for the last many days which may change today.
16. I bought 1 lot of 1780CE, sold 2 lots of 1800CE, sold one lot ech in 1820CE and 1840CE in IndusInd Bank yesterday.
17. Similarly, bought 1 lot of 1700PE, sold 2 lots of 1680PE, 1 lot of 1660PE and 1 lot of 1640PE.
18. Hoping to make some profit due to the fall in IV in IndusInd Bank today.
19. India VIX has been rising in the last few weeks in a rising market.
20. Though generally VIX is known as fear index, fear need not be always on the lower side, it can be on the higher side also.
21. That is very clear from the option prices as highest open interest among Calls is at 11000.
22. Whether this fear on the upside is right or not, we will know in the next few days.
23. Weekly Expiry and IndusInd Bank results will make Bank Nifty more volatile.
24. Nifty is expected to trade between 10600 and 10700.