Pre Market Report, Feb 23, 2021 | Stocks and Commodities

 Feb 23, 2021

Time: 8 am

Pre Market Report:

1. US markets ended mixed.
2. Technology stocks are seeing huge selling pressure globally.
3. TCS has broken 3000, fell more than 10% in last few weeks.
4. Yesterday, Asian markets opened positive and then before our markets open, sold off.
5. Today, Asian markets opened lower but recovering before our markets open.
6. Yesterday, our market fall was a surprise.
7. Nifty fell more than 350 points and Bank Nifty more than 1000 points from intraday high.
8. Market tried to recover after 2.30 pm, then met with huge selling pressure in last 30 minutes.
9. SGX Nifty indicating more than 100 points gap up.
10. Nifty future closed at 15643 yesterday, SGX Nifty now trading around 15750.
11. Japan markets are closed.
12. Australia, Hong Kong, China are up while rest of the Asian markets are down.
13. Remember, when we closed here, Dow futures was down by 200 points.
14. But Dow closed positive and right now Dow futures are higher.
15. Moreover, in F&O, there was no shorting by FIIs.
16. In fact, they incresed their long by 3%, from 61% to 64%.
17. These smart players ould have covered their shorts yesterday.
18. Nifty took support at 20DMA for most part of the day and sold off in last half an hour.
19. Now it is coming back to 20DMA, it will be interesting to see whether markets will be sold off again.
20. Both FIIs and DIIs were net sellers in Cash market, both sold around Rs 900 crore each.
21. Bank Nifty has made more than 1000 points move many times in last one week.
22. Yesterday, since morning HDFC Bank was looking bullish and Reliance was looking bearish.
23. I was wondering what will happen, will HDFC Bank fall or Reliance will go higher.
24. But worst thing happened, HDFC Bank fell later.
25. There is addition of open interest at 14800CE, 14900CE, 15000CE, huge addition.
26. So markets will see resistance at every level.
27. Nifty 15000CE has the highest open interest and that will be the resistance until expiry.
28. Premiums have shot up on downside, due to huge increase in India VIX.
29. India VIX is likely to move down in next few days, it is more than 25 right now.
30. Nifty future may trade between 14640 (yesterday's low) and 14820.