Pre Market Report, December 12, 2019 | Stocks and Commodities

December 12, 2019
Time: 8.30 am

Pre Market Report:

1. Yesterday markets were volatile.
2. Nifty future hit 2 week low in the afternoon.
3. Immediately testing low, short covering set in.
4. Bank Nifty shot up more than 300 points in the last one hour.
5. Now SGX Nifty is trading close to 12K.
6. It seems that Love for 12K continues.
7. On November 15, I suggested 11600PE, 11700PE, 11800PE, 12000PE, 12000CE, 12200CE, 12300CE, 12400CE in December contracts.
8. After one month, now Nifty is closer to 12K.
9. This strategy has given 7-8% return in just one month.
10. Fed maintained status quo as expected.
11. Asian markets are positive.
12. Yesterday both FIIs and DIIs were net buyers in Cash market.
13. Yesterday many stocks recovered after sell off, like ITC, TCS, etc.
14. I have sold Vedanta 130PE, Power Grid 175PE, Nalco 40PE, Hero Moto 2300PE, Reliance 1520PE, IOC 125PE, prepared to take delivery if prices fall below these levels.
15. Bought Jan Nifty 12000PE and sold 2X11700PE. Will be making some profit today if markets open higher.
16. Both PFC and REC moved higher after my recommendation in Twitter.
17. Still HDFC Bank, ICICI Bank, Kotak Bank supporting Bank Nifty.
18. Other banking stocks are volatile.
19. Yes Bank fell fron Rs 70 plus to Rs 40 minus in a matter of few days.
20. Unfortunately, I took long position at Rs 65, but right now I have sold 50, 55, 60, 65, 70, 75, 80CEs.
21. Not worth managing, huge amount of margin blocked, just to get out without loss.
22. Max Pain, highest OI will not work today due to huge moves yesterday afternoon.
23. Reliance has not been moving for the last few days.
24. Bank Nifty may settle between 31200 and 31500.
25. Nifty may expire between 11880 and 12020.