Pre Market Report, Jan 11, 2021 | Stocks and Commodities

 Jan 11, 2021

Time: 8 am

Pre Market Report:

1. Asian amrkets are higher.
2. But US Futures are lower.
3. SGX Nifty closed around 14490 on Friday night.
4. But right now, it is trading around 14440.
5. south Korea is the star performer.
6. On Friday it was up 3% and today again it is up 3%.
7. 6% in two days, that is a very strong rally.
8. Since the dollar index is hovering below 90, Emerging markets are seeing strong rally.
9. We are waiting for corporate results.
10. TCS has already declared very good results.
11. Infosys which was up 4% here on Friday, up 6% in US ADR.
12. So we can expect about 2% upswing in IT Stocks.
13. FII bought for more than Rs 6000 crores in Cash market on Friday was a surprise.
14. Next leg of the rally, if it comes, will be led by Reliance and HDFC Bank.
15. On Friday, in last one hour, there was some activity in Reliance.
16. This week will be full of IT results.
17. Infosys, HCL Tech, WIPRO set to declare results.
18. Premiums are so high in IT Options.
19. If you are a daredevil, you can try short straddle in these stocks.
20. We can expect some rally in Banking stocks as Inflation rate is likely to come down this week.
21. Recent rally was by Axis Bank, IndusInd Bank, RBL Bank, SBI Bank.
22. HDFC Bank and Kotak Bank have been under performing but these two stocks have avout 50% weightage in Bank Nifty.
23. Today FINNIFTY will start trading.
24. We have to see the volume in that contract.
25. We also need to see whether that eats the volume of Bank Nifty.
26. But as I stated in my YouTube Video, FINNIFTY is sandwiched between Nifty and Bank Nifty.
27. RBI signals reversal of low interest rates.
28. Interest rates have bottomed out, in my opinion.
29. Expect usual market behaviour, gap up, give opportunity for DIIs to book profit, market comes down, gives opportunity for FIIs to buy, then market stabilses.
30. Nifty future may trade between 14320 and 14500.