Pre Market Report, August 30, 2018 | Stocks and Commodities

August 30, 2018
Time: 8.45 am

Pre Market Report:

1. We are coming to the end of August series.
2. In the first half markets were in consolidation mode.
3. In the second half due to trade agreements and talks, markets have gone up.
4. In the beginning of this month, I fixed the target at 11700.
5. That is why I have given the strategy "Nifty 11700PE sell and 11700CE sell in August and Nifty 11700PE buy in September"
6. Though briefy Nifty traded above 11700, now it is almost trading around 11700.
7. Nifty 11500PE has the highest open interest among Puts and 11800CE has the highest open interest among Calls.
8. Nifty is likely to expire between 11700 and 11780.
9. SGX Nifty is trading about 10 to 20 points higher but without any liquidity.
10. Bank Nifty has been rejected at 28400 three times.
11. If there is any short covering in HDFC Bank, Ktak Bank, IndusInd Bank, then we can expect expiry around 28500.
12. All three stocks are looking very weak.
13. But will there be any short covering? That is a million dollar question.
14. Crude prices are higher.
15. So Auto and OMCs will be in focus.
16. Reliance started correcting after a stellar run.
17. Expiry is all about short covering and long unwinding.
18. Expiry day, markets will be highly volatile.
19. If Nifty falls to around 11670, then I will be a buyer with hedge.
20. Nifty may trade between 11680 and 11780.