Pre Market Report, January 3, 2019 | Stocks and Commodities

January 3, 2019
Time: 8.35 am

Pre Market Report:

1. Our markets were very volatile yesterday.
2. Day before yesterday, Bank Nifty shot up 400 points from low.
3. Yesterday it fell 350 points from high.
4. Nifty was even more bad, shot up 120 points day before yesterday but fell 170 points from high yesterday.
5. US markets were also highly volatile.
6. Yesterday evening, Dow down 450 points, in night it was up 20 points, now Dow Futures down by more than 300 points.
7. Apple gave profit warning due to China trade war and falling Apple sales.
8. Apple fell from US$157 to US$145 in US after market trade.
9. China, South Korea Manufacturing PMI came below 50.
10. Below 5o reading in PMI means Economy is not expanding, it is Contracting.
11. India Manufacturing PMI came at over 52 yesterday.
12. There was a flash crash in US$ against Japanese Yen today morning.
13. OMCs will be in focus as there is some news report that they can pass on less benefit when Crude falls in order to recover their losses when they had to absorb Rs 1 per lot when Crude was higher.
14. Yesterday both FIIs and DIIs have sold in Cash market.
15. So it is time to be cautious.
16. Weekly expiry will make Bank Nifty volatile.
17. Highest OI among Puts is at 27000 and among Calls is at 27500.
18. So Bank Nifty is likely to expire between these two figures.
19. Max Pain is at 27200, huge OI added at 27300, 27400, 27500 making upside limited for Bank Nifty.
20. Nifty future may trade between 10750 and 10920.
21. Bank Nifty (spot) may trade between 27000 and 27500.