Pre Market Report, August 16, 2018 | Stocks and Commodities

August 16, 2018
Time: 8.15 am

Pre Market Report:

1. One day our markets closed, hell of problems in the world.
2. Turkey problem continued.
3. China Technology Giant Tencents declared bad results and that affected all the technological stocks.
4. I just joked in my Twitter, "Ten Cents wiped out Ten Billion Dollars!"
5. People were talking about FANG stocks. (FAANG - Facebook, Amazon, Apple, Netflix, Google).
6. Now they are talking about BAT. (BAT - Baidu, Alibaba, Tencents)
7. MSCI Emerging market index is down by 20% from January peak.
8. But we are 3% higher than January peak.
9. Crude is trading below US$71 which is good will cushion the impact of stronger Dollar.
10. Copper fell more than 20% from recent high and all other metals have fallen.
11. Gold is below US$1200, the long term support is at US$900.
12. Asian markets have recovered dramatically in the morning trade.
13. Nikkei is in Green after opening 300 points down.
14. Yesterday night Hang Seng futures was down by 600 points but now trading in Green.
15. SHX Nifty hit a low of 11324, now trading around 11410.
16. SGX Nifty traded at all over the places from 11504 to 11324.
17. Today being the expiry of Bank Nifty we need to see how Bank Nifty trades.
18. Kotak Bank is a problem for Bank Nifty due to the news flow.
19. Indian ADRs did not do badly, so the damage here is likely to be low.
20. Trade deficit is a concern but people say it has already been factored in and that is why Rupee breached 70.
21. China has accepted US invitation for trade talk and that is the reason for markets recovery in Asia.
22. Nifty is likely to face resistance at 11500 in this series.
23. One good thing is that we have only 10 more trading sessions left in this series.
24. India VIX is likely to move higher and hence the option premiums.
25. IT and Pharma will be doing well.
26. Metals may come under pressure.
27. Auto stocks will be in focus as Crude slides.
28. Nifty future is likely to trade between 11320 and 11520 for the next two weeks.
29. Today Nifty future may trade between 10380 and 10480.
30. Bank Nifty will be volatile.