Pre Market Report, January 23. 2019 | Stocks and Commodities

January 23. 2019
Time: 8.15 am

Pre Market Report:

1. US markets closed lower.
2. There was a news that US in cancelling Trade talks with China.
3. So US markets fell drastically after this news.
4. Later White House denied this news.
5. So markets recovered about one third of the losses.
6. After the markets close, US futures are trading higher.
7. Asian markets also recovered and trading in Green.
8. SGX Nifty is trading between 10940 and 10950.
9. Nifty future closed between 10900 and 11000 for 6 days in a row.
10. Out of these 6 days, 6 days Nifty future broke down below 10900 intraday.
11. On one day Nifty future broke 11000 on the higher side, intraday.
12. Today Nifty future is likely to open around 10950, whether it is going to break 10900 or 11000 is a billion dollar question.
13. But in all 6 days, markets were sold into as soon as markets opened.
14. Only one day, Nifty future recovered more than 100 points from morning intraday low quickly.
15. Now the key corporate results are over, do not know what triggers will move the market.
16. I was hoping for a break out which is not happening.
17. So I started selling Call options again.
18. Yesterday sold 11100CE and 11200CE at Rs 38 and Rs 16.
19. Bank Nifty closed slightly lower but both Put and Call options shot up in February series.
20. Bank Nifty 26500PE shot up by Rs 60 and 28500CE shot up by Rs 21.
21. Auto stocks are bleeding, auto index corrected more than 3% in two days.
22. Except few stocks like Reliance, Kotak Bank, Infosys, broader markets are cracking.
23. Despite 15% rise in Reliance and 7, 8% rise in Infosys, Kotak Bank shooting up 100 rupees, markets are not able to break out.
24. Let us see what happens today. Nifty future will have to trade above 10980 for break out.
25. Nifty future is likely to trade between 10880 and 11000.