Pre Market Report, February 27, 2020 | Stocks and Commodities

February 27, 2020
Time: 8.15 am

Pre Market Report:

1. Dow fell for third day.
2. Dow lost more than 2000 points in 3 days.
3. Now Corona Virus reported in US also.
4. Just after this news, Dow futures fell more than 200 points.
5. So the Corona Virus fear is at its peak.
6. Asian markets are mostly down.
7. South Korea Central bank did not cut rates as expected.
8. South Korean markets traded in Green briefly due to rate cut expectation.
9. Since the rate cut did not come, markets fell.
10. Our markets were highly volatile yesterday.
11. Crude has fallen due to Global gloom.
12. SGX Nifty is trading around 11675.
13. For the last few days, for Call sellers, it was easy money.
14. Due to budget and Corona Virus I was away from markets for most of my clients.
15. After the budget I just keep selling Call options.
16. Yesterday around closing time, sold 11800CE.
17. Today's markets are likely to be highly volatile.
18. For the last few day's, everyday, previous day's low was broken.
19. If that has to happen today, then Nifty future will have to break 11638.
20. There is no premium in Nifty March contract, so markets are ultra bearish.
21. FIIs have sold Rs 1000 Crore plus on Monday, Rs 2000 Crore plus Tuesday and Rs 3000 Crore plus on Wednesday.
22. On any bounce, we can sell 11800CE for intraday with SL.
23. Banks are doing better, markets will bleed if they come under selling pressure.
24. L&T, Maruti, Hero Moto all hit 52 week lows yesterday.
25. Nifty looks more weaker than Bank Nifty.
26. But this is the best time for long term investors to enter.
27. All sectoral indices fell yesterday.
28. In the past, many times, markets bottomed out on the expiry day.
29. Let us see whether that happens this time.
30. The way US futures are trading, it may not happen this time.
31. Nifty future may trade between 11620 and 11760.