Pre Market Report, January 9, 2019 | Stocks and Commodities

January 9, 2019
Time: 8.30 am

Pre Market Report:

1. US markets closed higher.
2. Asain markets are higher.
3. SGX Nifty is up by 80 to 90 points.
4. Short sellers willbe trapped by this huge gap up.
5. Two days before when markets opened with huge gap up, markets were sold into.
6. But I do not think it is going to happen today.
7. Now Nifty future once again coming back to huge resistance area of 10900-11000.
8. Yesterday Nifty 11000CE saw unwinding.
9. IndusInd Bank, most under performing Private Sector Bank coming out with results today.
10. ICICI Bank closed at 52 week high yesterday.
11. Bank Nifty hugely out performed Nifty yesterday.
12. All these bring Bank Nifty into focus today.
13. FIIs have sold in Cash market but DIIs have boght more than what FIIs have sold.
14. Infosys buy back and Special Dividend news may propel the markets higher next week.
15. This time there is every possibility Nifty may break 11000.
16. I have sold Put options aggressively from 10500 to 10000.
17. Sold February 10000PE and June 9000PE also.
18. Finally January is seeing good participation by Institutions and markets showing upward trend.
19. If Nifty sustains above 10920, the highest OI may shift from 11000 to 11200.
20. Nifty future took support at 10678 this time, so selling Puts below that is good on every dip.
21. Now it is "Buy on dip" market.
22. If corporate results are good, we can expect 10% move in Nifty this month.
23. Many times in the past, Nifty moved 10% after prolonged corrections.
24. This time correction lasted for more than 4 months.
25. One big upmove is due.
26. So it is time to be cautious in selling Call options.
27. Nifty future may trade between 10850 and 10950.