Pre Market Report, April 13, 2020 | Stocks and Commodities

April 13, 2020
Time: 8 am

Pre Market Report:

1. US markets were higher on Thursday.
2. But today US futures are down.
3. Asian markets are marginally lower.
4. SGX Nifty is down by 30, 40 points.
5. Corona virus curve is flattening in Europe but peaking in US.
6. India is likely to extend the lock down.
7. Some essential sectors may be given exemption, like Agriculture.
8. OPEC+ finally agreed for 9.8 million barrel production cut.
9. But that is not firing the Crude prices.
10. Crude prices are higher by 4 to 5%.
11. FIIs bought in Cash market for two days in a row.
12. On Thursday, they have bought for about Rs 1750 crores in Cash market.
13. Many markets are closed today to Easter holiday.
14. So the volume may not be high in other markets which are open.
15. On Thursday India VIX closed below 50.
16. That is a sign of some stability.
17. India VIX can further go down towards 40.
18. Auto sector did very well on Thursday.
19. We can expect markets to consolidate in the next few days.
20. Nifty will face resistance in the zone 9200-9300.
21. Support will be around 8700.
22. But markets may continue to be volatile as DIIs are selling aggressively.
23. Highest open interest among Puts is at 8000 and highest open interest among Calls is at 10000.
24. So any move below 8800, I plan to sell 8000PE.
25. Any move above 9200, I plan to sell 10000CE.
26. I sold 8500PE, 8200PE in weekly Nifty.
27. I sold 18000PE in Bank Nifty weekly.
28. I sold Bank Nifty monthly 15000PE.
29. Let us see how these positions perform.
30. Sold Bajaj Finance 2000PE also.