Pre Market Report, April 2, 2019 | Stocks and Commodities

April 2, 2019
Time: 8.15 am

Pre Market Report:

1. US markets closed higher after a strong PMI data from China.
2. Asian markets are generally positive.
3. SGX Nifty is trading about 20, 25 points higher.
4. Yesterday there was huge profit booking in late afternoon.
5. Bank Nifty fell 400 points and Nifty fell 120 points.
6. But all the booking came only in Bank Nifty.
7. Bank Nifty fell 400 points which corresponds to 120 points as Banks have about 1/3 weightage  in Nifty.
8. Auto stocks did well. IT and Pharma also did well.
9. May be people booking profit in stocks that rallied so much and investing in stocks that are laggards.
10. PSU Banks did well. I am holding SBI futures with 320PE buy, 310PE, 300PE, 340CE sell.
11. FIIs have bought about 900 crores in Cash market.
12. It is really not a good figure, I thought they would have invested at least Rs 1000 crores.
13. Kotak Bank came under severe selling pressure in the last hour of trade.
14. DIIs have sold heavily after just buying for one day in the last trading day of March.
15. Bank Nifty may consolidate ahead of RBI policy on Thursday.
16. Yesterday I said about PSU Banks and they did well.
17. OIs are giving confused signals.
18. Nifty 11000PE and 12000CE have highest OI among Puts and Calls.
19. It is a wide range considering the fact that there are only 16 more trading sessions.
20. Yesterday everyone was expecting all time high.
21. But markets did not oblige them.
22. Markets may give some dip and make people will believe markets will not hit all time high and it will hit high when nobody expects.
23. Bank Nifty future premium expanded and that is a bullish sign.
24. But that gives advantage to short sellers.
25. Reliance crossed 1400, few weeks before it broke 1100. On January 4th, its low was Rs 1081.
26. It is a 30% rally from that point in less than 3 months.
27. I have been saying that the target for Reliance is 3000 in 3 years.
28. Auto companies announcing lower sales across the board.
29. But Tata Motors shot up due to short covering and China optimism.
30. Nifty futures may trade between 11700 and 11800.