Pre Market Report, March 11, 2019 | Stocks and Commodities

March 11, 2019
Time: 8.25 am

Pre Market Report:

1. S markets fell for 5th day in a row.
2. US jobs data came at 20K, it used to be 200K to 300K.
3. There was a knee jerk reaction to this data.
4. EVen today morning DOw futures are down.
5. But Asian markets are not that bad.
6. Asia is mixed.
7. SGX Nifty closed at 11025 on Friday night but now trading around 11040.
8. This is still lower by 40 points compared to our close here on Friday.
9. Meanwhile, election dates were announced yesterday.
10. It was big relief foe me as the counting day falls on a trading day.
11. If the counting day falls on a holiday, then next trading session will see a big gap up or big gap down, making trade adjustments difficult.
12. If the counting is on a trading day, adjustments can be done, Stop Loss can be placed.
13. So we can take positions in May and Jne contracts.
14. In fact December contracts will become active in April.
15. Right now, if expiry is more than 9 months, then it attracts higher Exposure MArgin.
16. That is the reason why there was less liquidity in December contract.
17. In April, December expiry will be less than 9 months, so activity will pick up.
18. On Friday also FIIs bought for more than Rs 1000 crore in Cash market.
19. SGX Nifty is trading lower due to (i) FII shorting in futures, (ii) lower flow to MF (iii) bad Global cues.
20. Markets may open lower but I will not be surprised if it closes higher today.
21. After all election announcement is a uncertainty and that is over now.
22. Reliance and ITC are looking strong and they are supporting Nifty.
23. HDFC Bank is at swing high on Friday.
24. I first week of February, Nifty future hit 11150 and Bank Nifty future hit 27600 but on Friday Bank Nifty fture hit 27900 while Nifty futurecould not cross 11100.
25. Nifty future may trade between 11020 and 11120.