Pre Market Report, March 8, 2018 | Stocks and Commodities

March 8, 2018
Time: 8.10 am

Pre Market Report:

1. I could not write "Pre Market Report" yesterday as I was busy with some other work.
2. US markets closed better than what pre market showed.
3. When we closed here at 3.30 pm yesterday Dow futures were down by 350 points but later Dow closed less than 100 points down.
4. Asian markets are all stabilising.
5. Yesterday Nifty fell 100 points on top of 200 points fall the day before yesterday afternoon.
6. But India VIX did not shoot up.
7. That shows that markets may stabilise around 200 DMA which is around 10120.
8. PSU Banks falling drastically, PSU Bank index is down by about 25% in the last two half months.
9. Yesterday PSU Bank index fell 4% despite the index closing at all time low the day before.
10. TDP is pulling out of NDA has already factored in the markets.
11. So that is not a big issue for markets.
12. FIIs were net sellers yesterday in Cash market but bought in F&O. (I take only Index futures and stock futures)
13. SGX Nifty is showing about 30 points plus.
14. There may be some short covering and that may be sold into.
15. Once we have so close to 200DMA, the possibility of breaking is is very very high, at least intraday.
16. That may not happen today, may happen in the next few days.
17. So any short covering rally, we should reduce the long positions.
18. This weekend will be a crucial one as US jobs data on Friday and reported news of Trump signing the steel tariff hike during the weekend will make or break the markets on Monday.
19. Today Bank Nifty weekly expiry will make markets volatile in the last one hour.
20. Nifty future should take support at 10120 for the next few days.
21. Resistance will come around 10280, the low point of last fall.