Pre Market Report, September, 26, 2018 | Stocks and Commodities

September, 26, 2018
Time: 8.10 am

1. Entire September series was a highly volatile series.
2. Everyday Nifty has been making more than 100 point move.
3. Yesterday Nifty closed 100 point higher but made huge swings.
4. LIC statement regarding IL&FS triggered huge short covering.
5. LIC said it will make sure IL&FS does not collapse.
6. Since the fall on Friday and Monday was so severe, still shorts are left in the system.
7. SGX Nifty is showing about 30 to 40 points higher.
8. Further short covering can take Nifty to 11180.
9. Govt. is asking RBI to cut CRR.
10. This news will make sure there is more short covering in Bank Nifty.
11. Nifty took support at Friday's low of around 10900.
12. There are many negatives like Not so good global cues, Ruppe is down, Crude is up, FII selling spree etc.
13. At the same time, short covering, LIC bailout of IL&Fs, Govt. asking for CRR cut, huge buying by DIIs are positive factors.
14. So last two days, it is all about short, short covering and long, long unwinding.
15. Tonight Fed policy will also add to the volatility.
16. So markets are likely to bevolatile as usual.
17. I am planning 11200 put calendar, sell September 11200PE and Buy Oct 11200PE.
18. If markets move closer to 11200, there will be a profit of about Rs 50. The loss will be about Rs 10 for every fall of 100 point in Nifty.
19. Kotak Bank and HDFC Bank saw huge buying interest in the last half an hour.
20. So Bank Nifty is also likely to be good.
21. I am planning to sell 11000PE if there is any dip.
22. Nifty future has never been trading as per my prediction in this month.
23. Still I predict, Nifty future should trade between 11020 and 11180.