Pre Market Report, August 07, 2020 | Stocks and Commodities

August 07, 2020

Time: 8 am

Pre Market Report:

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2. US markets closed higher.
3. Every day US markets are moving higher, for the last one week.
4. When markets are Optimistic, everything will be looked positively.
5. Today US Jobs data will come.
6. If it is more, people will say, Economy is strong, adding more jobs, buy stocks.
7. If it is less, see Economy is bad, surely Stimulus will come, so buy stocks.
8. If sentiment is bearish, just opposite argument will come.
9. If jobs are more, no stimulus will come, sell stocks.
10. If jobs are less, Economy is bad, so sell stocks.
11. Let us come back to our markets.
12. As expected, markets were highly volatile.
13. RBI policy was on expected line.
14. Only thing is that Restructuring was not announced, instead Committee was set up to look into it.
15. Bank Nifty did not cross day before yesterday's high.
16. Bank Nifty 22000 seems to be a good resistance.
17. From June expiry day to now, Nifty is up by 1000 points Bank Nifty not even 100 points.
18. All uncertainties are over for Banking Stocks.
19. Let us see whether there is any buying momentum in Banking stocks.
20. Reliance also seems to consolidate between 2100 and 2200.
21. Nifty is also seems to be consolidating between 10880 and 11350.
22. FIIs are net buyers for Rs 637 crores while DIIs sold for Rs 468 crores in Cash market.
23. High Dividend stocks are all moving higher, like REC, PFC, etc.
24. As and when markets break out of the range 10880-11350, I am expecting PSU Banks to perform better.
25. After so many quarters, PSU Banks are declaring good results.
26. I am selling Puts in SBI, Bank of Baroda. PNB and Canara Bank with a view to take delivery.
27. SGX Nifty is just below 11200.
28. So expect some consolidation in the first half and a possible sharp up move towards the end of the day.
29. Nifty future may take support at 11120.
30. Resistance may be around 11280.