121. Pre Market Analysis - June 07, 2021
Last Friday Nifty closed with a loss of 20.10 points but it fell 110 points from Intraday high after RBI policy announcement .
Where as Sensex was down by 132.38 points and Bank Nifty fell 357.35 pointS.
Heavy weightage stocks like Reliance , Banking stocks , Infosys dragged the market .
FIIs bought 1499.37 crores and DIIs sold 1175.01 crores .
FIIs was on buying side from the past many days ,remember the point FIIs always keep their money in smart way so until they become to negative our markets may not fall huge.
Friday fall happened because of many reasons , as on Friday morning we have seen global markets weak performance and along with that RBI policy announcements didn't came as per expectations so markets turned to negative so event falls will be always minor and don't expect the continuation fall by coming days because we don't have any bad news but the only one thing we should remember that is ATH so any profit booking at ATH may drag the index towards lower.
Coming to Global markets :- Last night U.S and U.K markets closed at higher and Currently Dow Jones , Nasdaq and U.K futures are trading with negative bias.
Most of the Asian futures are trading at lower.
SGX Nifty is up by 39 points as of now which is trading at ATH 15,748.
Coming to India :- Today we may see gap-up opening in our markets based on SGX Nifty and global markets clues.
Avoid the chasing of opening trades if markets open with gap-up due to diversion between SGX Nifty and global markets clues.
If markets open with gap-down then we may see little bit correction in the first hour then it will move based on weightage stocks performance.
Brent Crude is above 71$ which may spoil the bulls moment.
Nifty is at ATH but it formed Doji of last 15 minutes candle as still it is giving a hint for us that markets are still looking weak and at the same time global clues also not good and weightage stocks are not supporting and Crude spiking but consider FIIs number along overall bullish sentiment so its better to play on both sides.
Bank Nifty need to break 35,700 with huge volume until that it will consolidate or under perform .
The one who is looking for support and resistances based on OI data and chart analysis :- Nifty 15,700 CE was seen highest open interest which will act as strong resistance and next resistance will be 15,730 which is ATH and Support at 15,624 which is Fridays low if it breaks then support will be 15,500.
Bank Nifty watch 35,700 for upside and downside watch 35,000.
All The Best , Trade With Discipline.