Pre Market Report, Jan 19, 2021 | Stocks and Commodities

 Jan 19, 2021

Time: 8 am

Pre Market Report:

1. US markets were closed yesterday.
2. Ex Fed Chair Janet Yellen, who will be the Treasury Secretary, called for aggressive Stimulus.
3. That statement has arrested negative sentiment.
4. US and European Futures are higher.
5. Asian markets are higher.
6. SGX Nifty is up by more than 100 points.
7. Yesterday from 1.30 pm to 3.30 pm, our markets were very volatile.
8. Just seconds before 1.30 pm (European markets opening time) Nifty fell suddenly 40 points and then immediately recovered and shot up 150 points and then started falling 175 points to close at the lowest point.
9. It was a crazy move, usually this kind of moves happen only on Wednesdays and Thursdays.
10. Top two stocks in Nifty 50, Reliance and HDFC Bank, both traded in Green but market is down so much.
11. Reliance has announced that it will come out with results on Friday.
12. So people used yesterday's weakness to square off their short position and that has triggered short covering.
13. HDFC Bank traded decently higher after its results.
14. My YouTube PRO Members have made good money in TCS, Infosys, HDFC Bank trades.
15. They are still holding some positions in Reliance, SBIN, Maruti.
16. Nifty has corrected about 400 points.
17. And tis is a decent correction.
18. Corrections are always healthy for Bull markets.
19. What is more important than market movement, India VIX movement.
20. India VIX crossed 25 yesterday, which is more than COBE VIX.
21. Going forward, India VIX may cool down.
22. If it is not cooling down, then I may consider some short straddles in Feb series.
23. Bajaj Twins will be in focus ahead of their results tomorrow.
24. Reliance will see some follow through action.
25. Banking stocks will also be in focus as Bank Nifty fell despite HDFC Bank and Kotak Bank not doing badly.
26. Yesterday's candlw was a big one.
27. Nifty future traded between 14250 and 14459.
28. Today, it may be an inside candle.
29. Nifty is likely to trade between 14250 and 14459.
30. I will turn bullish, if 14459 is crossed.
31. I will turn bearish if 14250 is broken on the downside.
32. Remember, last week the same happened.
33. Nifty made a big candle, for next two days, it was inside candle, next day, low broken, Nifty fell more than 200 points from there.