Pre Market Report, October 11, 2018 | Stocks and Commodities

October 11, 2018
Time: 8.30 am

Pre Market Report:

1. US markets crashed in the last one hour.
2. Asian markets are bleeding.
3. SGX Nifty has broken the swing low.
4. This is happening after a huge rally of 800 points in Bank Nifty.
5. India VIX crashed more than 9% giving hope of stability in the markets.
6. That too this kind of Crash happening on Thursday is very dad.
7. Markets will be in absolute panic in the first 15 minutes.
8. Usually when markets open with such a big gap down, those who shorted will cover the shorts offering some cushion on the downside.
9. But that may not happen today as most of the shorts were wiped out yesterday.
10. Crude also crashed below US$82 but that may not offer any cushion to India as Global rout will play dominant role.
11. Yesterday's rally seems to be bull trap rally.
12. Today just due to bad sentiment, all stocks may fall bringing index down.
13. In 2008, we have corrected significantly before Global rout came in and we corrected further.
14. Now the way things are spanning out, that fear is coming.
15. But only difference is that 2008 problem came because US was not doing well, now the problem is coming because US is doing very well.
16. Our markets are going to be like this only for the next many months.
17. If there is any chance, get out of the markets is good.
18. Wait for some kind of stability to return to the markets.
19. FIIs continue to sell.
20. Nifty future should take support at 10150 which was the last July expiry levels.