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

 October 13, 2020

Time: 8 am

Pre Market Report:

1. US markets closed higher.
2. This is the fourth straight gain for US markets.
3. Nasdaq out performed as technology stocks shot up.
4. Apple did well ahead of iphone 12 launch.
5. But Asian markets are not doing well.
6. SGX Nifty crossed 12000 yesterday night but now trading slightly lower than yesterday's close of 11936.
7. Here in India, yesterday, markets were volatile.
8. One of the reasons for volatility was the power outage in Mumbai.
9. Many brokers terminals did not work properly.
10. Once again IT stocks out performed.
11. Both Infosys, WIPRO hit fresh all time high.
12. WIPRO is declaring results today.
13. WIPRO 430CE which is about 15% higher, trading at a very good premium of Rs 5.5.
14. Even ATM straddle trading around Rs 41, more than 10% premium.
15. SO people expect a very good move after the results, we have to see tomorrow morning how it will open.
16. We will get some indication tonight itself as WIPRO ADR trades in US markets.
17. Tomorrow Infosys, Thursday Mindtree, Friday HCL Tech.
18. So this is a week of IT.
19. Nifty has already run up 1200 points ahead of corporate results.
20. Now the market move from here on will depend upon corporate results.
21. IT companies are expected to declare good results.
22. HDFC Bank under performed yesterday.
23. So that is a stock to watch today.
24. FIIs have turned net buyer after just one day gap.
25. They have bought for Rs 615 crores.
26. However DIIs have sold heavily, for Rs 1029 crores.
27. But that was expected.
28. Now, it is a buy on dip market.
29. After testing 12K, markets consolidate and correct a bit.
30. Markets will be strong if 12K is taken out again.
31. IIP and CPI Inflation data were not good.
32. But markets may choose to ignore as they are lag indicators.
33. Yesterday's low of 11867 should be a good support for today.
34. Today may be an inside candle.
35. Means Nifty future may trade between 11867 and 12014.