Pre Market Report, October 14, 2020 | Stocks and Commodities

 October 14, 2020

Time: 8 am

Pre Market Report:

1. US markets closed lower.
2. Asian markets are also lower.
3. SGX Nifty is down by about 50 points.
4. WIPRO came out with results yesterday after market hours.
5. WIPRO ADR is down by 2.2%.
6. Many brokers have downgraded WIPRO after the results.
7. But WIPRO ADR trades at a good premium, so it will be difficult to predict WIPRO movement here.
8. All IT stocks have run up in the recent past.
9. Due to not so excellent results from WIPRO, people expect profit booking in IT stocks.
10. That is why SGX Nifty is down by 50 points.
11. Negative Global cues, not so good results from WIPRO, yesterday's selling immediately after market opening, two days of Doji pattern closing, all contribute to this negativity in SGX Nifty.
12. There are some negative newsflow on vaccine front also. After J&J, Ely Lilly also paused trials.
13. But there are some positives also.
14. FIIs continue to buy in Cash market.
15. They have bought for Rs 832 Crores.
16. However DIIs have sold almost double of that, for Rs 1674 Crores.
17. Incremental cases of Corona virus cases is coming down in India.
18. Interest on Interest case hearing will be in the afternoon.
19. Bank Nifty is likely to be highly volatile until the verdict comes in this case.
20. Yesterday, after many days, India VIX came down.
21. Now market think that the trend may not continue.
22. Markets may consolidate for next few days.
23. World markets will also be watching China President Xi speech today.
24. Reliance moved higher in the afternoon yesterday.
25. If the buying sustains in Reliance, then markets may not fall much.
26. But last time, when Reliance moved towards 2300, it did not sustain.
27. As long as Monday low of 11867 is held, we can be positive about the market.
28. Huge selling by DIIs is a concern.
29. Entire Pharma pack came under profit booking yesterday.
30. Nifty future may trade between 11820 and 11980.