Pre Market Report, January 6, 2019 | Stocks and Commodities

January 6, 2019
Time: 8.45 am

Pre Market Report:

1. US markets closed lower on Friday.
2. Asian markets are down.
3. SGX Nifty is trading below 12200.
4. That is a big gap down of more than 60 points.
5. Crude is higher.
6. Gold is higher.
7. Geo political tensions spoiled the bull party.
8. There is an expectation of Iran retaliation.
9. Autos, OMCs will see selling pressure.
10. Rupee is likely to fall further.
11. So IT stocks may do well.
12. Despite a big fall in markets, FIIs were net buyers in Cash market for Rs 1263 crores.
13. Mid caps and small caps are out performing large caps.
14. This kind of news based sell off is a good time for long term investors to enter.
15. In my opinion, the relevance of Gulf regions has been going down in world Economy.
16. So after some time, everyone will forget this Iran issue.
17. I still believe that Nifty 12000 is a big support.
18. Will review my long positions only below that.
19. Until then I will keep selling Call options to manage the positions.
20. On Friday I sold Nifty 12300CE, 12350CE in weekly, 12400CE, 12500CE in monthly, Bank Nifty 33000, 32800, 32600, 32500CE in weekly.
21. Will be looking to add more short positions through options.
22. Bank Nifty is looking more weak than Nifty.
23. Bank Nifty will break 32000, I have 32500 short straddle.
24. Traders may have to wait until clarity emerges in US-Iran issue.
25. Nifty future may take support at 12180.
26. Resistance may come around 12280.