Pre Market Report, July 4, 2018 | Stocks and Commodities

July 4, 2018
Time: 8.45 am

Pre Market Report:

1. US markets closed in Red after opening in Green earlier in the day.
2. Asian markets are mostly flay with negative bias.
3. SGX Nifty is also down by 25 to 30 points.
4. Yesterday FIIs have sold for more than Rs 1000 crores again.
5. DIIs did not even buy one third of that.
6. Yet Nifty shot up 100 points from intraday low to high.
7. Few days before Bank Nifty future was trading at 100 point discount to Bank Nifty spot and yesterday at some point traded at 100 point premium.
8. Serious short covering has happened yesterday.
9. If that is the short covering, then follow on buying may not happen today.
10. In fact yesterday Bank Nifty closed in Red yesterday.
11. Infosys is moving higher nicely ahead of next week results.
12. HDFC Bank is the drag in Bank Nifty.
13. Auto stock have done very well.
14. In fact I was expecting Maruti to do well, I have Maruti 9000 short straddle.
15. Maruti 9000 short straddle I have collected a premium of about Rs 400, so I will make some profit as long as Maruti trades between 8600 and 9400.
16. For the past one week markets are highly volatile.
17. Every day making 100 points positional or intraday move.
18. Emerging markets fund out flow continues.
19. FIIs keep selling no matter what the price is.
20. It is only domestic mutual funds supporting the market as they keep getting money.
21. Few months down the lane, we do not know who is going to win.
22. I have sold Bank Nifty 25800PE, 25700PE, 25600PE 25500PE in Bank Nifty weekly expiry.
23. Also sold 26600CE, 26700CE and 26800CE in Bank Nifty.
24. Will keep adjusting today and tomorrow.
25. We can expect Nifty to be range bound today between 10650 and 10750.