April 19, 2021
Time: 8 am
- US markets closed at record high on Friday.
- Asian markets are mostly higher.
- But SGX Nifty is down by about 200 points.
- Markets will be reacting to Headline news.
- Since last two weeks, markets fell more than 400 points on Mondays, SGX Nifty is trading with caution.
- Corona cases hit the highest one day rise.
- HDFC Bank results seems to be below estimates.
- But SGX Nifty reaction may be a over reaction.
- Nifty has already fallen more than 100 points in last 30 minutes of Friday trading.
- Now with another gap down of 200 points, it will be more than 300 points from Friday afternoon high.
- So the big question is 'will markets recover during the day?'
- More Puts are written last week than Calls.
- Both FIIs and DIIs were net buyers in Cash market on Friday.
- FIIs were net buyers in Cash market on both Thursday and Friday.
- Global cues are good.
- By looking at all these, the fall should not be very bad.
- But the fear of Monday Mayhem is still dominating SGX Nifty.
- Bank Nifty and HDFC Bank will be in focus.
- If Corona virus cases come down, then we can expect some recovery over next few days.
- Right now, more and more states announcing night and weekend curfew.
- Nifty has already broken 14300 two times and recovered from 14250-14300 levels.
- That is an important level on the downside.
- Most brokerages upgraded HDFC Bank after results.
- But the same brokerages upgraded TCS after results but TCS fell 5% after results.
- Many Asian markets recovered from their lows.
- Honk Kong from about minus 200 points to about plus 200 points, great recovery.
- First half an hour is going to be too volatile, we have to wait for markets to stbilise to decide the direction.
- HDFC Bank, ICICI Bank (as it is the next major bank to declare results), HDFC (Sister concern of HDFC Bank), Reliance will decide the direction of the market.
- Be ready for volatile sessions for next few days.
- Nifty future may trade between 14400 and 14650.
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