Pre Market Report, Feb 25, 2021 | Stocks and Commodities

 Feb 25, 2021

Time: 8 am

Pre Market Report:

1. Yesterday markets closed at the high due to short covering in Pvt Sector Banks.
2. FM announced tat PSU companies can keep accounts with Pvt Sector Banks.
3. Earlier PSU Companies were asked to keep accounts only with PSU Banks.
4. That led to short covering rally in Pvt Sector Banks.
5. It was only Pvt Sector Banks and NBFCs did very well.
6. Along with Indian markets, entire world markets recovered.
7. US makets closed higher.
8. Asian markets are higher.
9. SGX Nifty is trading around 15030.
10. Yesterday markets were closed between 11.40 am and 3.30 pm.
11. Usually, during this kind of times, markets make a big move on either side.
12. Yesterday it moved on the higher side, due to FM announcement.
13. All actions came in last 80-90 minutes.
14. As I always say, "Bull market corrections are fast and furious", Nifty corrected from 15450 to 14650 in a matter of few days.
15. The pull back also will be equally furious.
16. Bank Nifty has been making more than 1000 points move for last few days, both downside and upside.
17. Yesterday, Bank Nifty moved more than 1500 points from intraday low to intraday high.
18. Nifty reclaimed the psychological level of 15K.
19. Everyone is asking for FII figure of Rs 29K crore.
20. That is due to bulk deals in Bosch.
21. Apart from Banks and Financials, other sectors are still struggling.
22. For example, Maruti is down by more than Rs 1300 from recent peak.
23. Finally highly volatile Feb series is coming to an end.
24. Nifty moved from 13600 to 15450, then from 15450 to 14650, then from 14650 to above 15K now.
25. Bank Nifty from 30K to 37.7K, then down to 35K, then just one day, up to 36.5K.
26. In a bull market, just buy shares when markets fall by 5 to 10% and be ready to average, if it falls by another 5 to 10%.
27. That is the only way to make money.
28. That too buy only index funds, due to sectoral rotation, you may lose.
29. I bought Maruti, but keeps going down.
30. Expect another volatile session today.
31. Today is the last expiry, you can get 3X extra intraday limit from brokers.
32. From next week you can only get 1X extra limit.
33. That includes Peak margin.
34. We need to watch big brother Reliance today for any significant move above 15K.
35. Nifty future may trade between 14980 and 15120.