Pre Market Report, June 28, 2019 | Stocks and Commodities

June 28, 2019
Time: 8.230 am

Pre Market Report:

1. US markets ended mixed.
2. Asian markets are generally down.
3. The focus now is on G20 meet.
4. US-China Trade talks, US-Iran issue, US-Japan, US-India trade talk are the key issues.
5. SGX Nifty is almost flat.
6. Yesterday markets were highly volatile.
7. HDFC Bank aided the violent moves and Reliance has helped.
8. Something is not correct with Reliance, looking very weak.
9. Moving violently between 1270 and 13000.
10. After trading entire month with May 23 candle, Nifty closed about 100 points lower in June series.
11. Will July see all time high in Nifty?
12. The way many stocks are moving, it looks like  "YES"
13. ICICI Bank, Axis Bank, SBI, HDFC Bank all looking good.
14. Axis Bank back to Rs 800 despite 2% stake sale by LIC.
15. The only laggard is Reliance, when that starts moving higher, Nifty can cross 12100.
16. Budget could be a trigger for that.
17. But according to some people, budget is not going to be good one.
18. As problems are there everywhere, budget can not afford to reduce taxes. In fact, some people expect increase in Long Term Capital Gain Tax.
19. If that happens, Nifty can test 11000.
20. On the other hand, if there is any corporate tax rate cut, Nifty can fly.
21. I expected June series to trade between 11600 and 12400.
22. Nifty tested lower range many time.
23. This time also I am expecting the same range, 11600-12400.
24. Since I have short straddle at Rs 500, I have no problem between 11500-12500.
25. Nifty 11500PE has the highest OI among Puts. So that will be a good support.
26. Auto stocks and Pharma stocks are stabilising at lower levels.
27. Crude is hovering around $65, it will be good if that starts correcting.
28. Expect sideways movement as long as Reliance is not performing.
29. Bank Nifty looks more bullish.
30. Nifty future may trade between 11840 and 11960.