Pre Market Report, July 4, 2019 | Stocks and Commodities

July 4, 2019
Time: 8.10 am

Pre Market Report:

1. US markets closed at record high ahead of Independence Day holiday.
2. Asian markets are mostly positive.
3. But our markets yesterday closed almost flat.
4. Yesterday after 2 pm, markets fell due to profit booking.
5. Now SGX Nifty is trading almost flat with positive bias.
6. Due to closure of US markets tonight, there may not be any global cues.
7. But at 12 noon, Economic Survey report is due in India.
8. Tomorrow is very important due to Budget.
9. FII selling in Cash market is a concern.
10. Yesterday also they have sold for more than Rs 400 crores in Cash market.
11. DIIs are not matching, they are buying but in less volume.
12. PSU banks are doing well.
13. If there is any disappointment in budget, they may fall.
14. Rupee is strong, so IT stocks are not doing well.
15. Ahead of the results, Volatility may spike in IT stocks.
16. Max Pain for Nifty is at 11900.
17. We can expect Nifty to settle between 11880 and 12000 today.
18. Max Pain for Bank Nifty is at 31400.
19. We can expect Bank Nifty to trade between 31200 and 31600.
20. Bank Nifty 31200PE has the highest open interest among puts.
21. Bank Nifty 31500CE has the highest open interest among calls.
22. Yesterday I bought 31500CE and sold 3X31700CE. It was no credit, no debit strategy.
23. By yesterday closing itself, it is in a profit of Rs 20.
24. If Bank Nifty settles between 31500 and 31700, there will be some profit.
25. Maximum profit will be when Bank Nifty expires around 31700.
26. We can expect a range bound market in the first half and some sharp move on either side in the last half an hour.
27. Huge OI added at Nifty 12000CE yesterday.
28. In Bank Nifty huge OI added at 31200PE and 31600CE.
29. July 12000 short straddle did at around Rs 500, now has come down to Rs 300, planning to square up by the end of the day.
30. Nifty future may trade between 11900 and 12020.