Pre Market Report, July 25, 2018 | Stocks and Commodities

July 25, 2018
Time: 8.45 am

Pre Market Report:

1. US markets closed positive though Nasdaq was flat.
2. Asian markets are generally positive.
3. Our markets are close to all time high despite the fact that both HDFC Bank and Kotak Bank are correcting.
4. This shows that the momentum is picking up in broader market.
5. LIC Housing shot up from 465 to 540 in the last two weeks is an example.
6. Yesterday during intraday Nifty corrected 50 points but the fall was bought into.
7. Bank Nifty also corrected more than 200 points, just because of Kotak Bank, but recovered.
8. Usually at resistance, markets will gap up.
9. If markets trade near resistance, markets will see some selling pressure.
10. That is what has happened yesterday.
11. It may happen or or two times before market is breaking out.
12. Tomorrow expiry will be interesting as Maruti and Yes Bank declare results.
13. Maruti is up by 1500 points already from the recent low.
14. Yes Bank is up nearly 30% from recent low.
15. Markets may consolidate today also.
16. We can expect some sharp move tomorrow.
17. If there is any short covering in HDFC Bank and Kotak Bank, then Bank Nifty will breakout.
18. For the last few months, Bank Nifty has been trading between 26100 to 27100.
19. I am taking a bullish vie, I sold lot of Put options in Bank Nifty from 26800 to 26500.
20. Nifty future may trade between 10100 and 10180.