149. Pre Market Analysis - July 22 , 2021
Third straight day for Indian markets to close in red .
Where as Nifty fell 120.30 points , Sensex was down by 354.89 points and Bank Nifty tanked 663.75 points.
FIIs again sold 2834.96 crores and DIIs bought 873.14 crores.
Nifty out of 120 points , only financial sector alone contributed 94 points so until Bank Nifty cool off we may see fall in Nifty too.
Quarterly results are going on but many stocks are falling even they came with good results and looks like investors got disappointed on HDFC Bank results too , If one big stock came with bad results obviously people will start booking their profits in other stocks too in the same sector.
Exactly this is what happening in Bank Nifty , due to HDFC Bank remaining stocks are under performing and we don't say the fall is just happening because of results and investors are taking lot of dots to short the market and last pre market analysis we have clearly mentioned those points.
Asian paint shot up 6% due to good numbers of their first quarter and Today Hindunstan Unilever , Ultra Cement , Bajaj Auto , are set to declare their results from Nifty 50.
Infosys , Reliance , Just Dial are in news so we may see some action on these stocks.
Coming to Global markets :- Last night U.S and U.K markets closed in positive and Dow Jones almost recovered 1000 points in just 2 days and Currently Dow Jones , Nasdaq and U.K futures are trading at higher.
Most of the Asian markets are trading at positive and Japanese are holiday today.
SGX Nifty is up by 110 points as of now.
Coming to India :- Today our markets may open with gap-up based on SGX Nifty and global markets clues
Nifty and Bank Nifty call side was added more OI which indicates that bears may continue the fall but with global markets recovery we may see strong pull back today to upside and both side premiums are looking equal so we may see both side moves today.
Today is the 4th expiry of this month and we have only one expiry left for this month after todays expiry so this expiry will be interesting expiry.
If markets opens with huge gap-up then expect one round for sellers as crude price is also rising and last two days lot of people shorted CE so they would be in loss if markets open with gap-up so that's why the chances of sell-off will be more and if they give up then short covering in CE leads the markets higher quickly and that is the best time to scalp that moves on CE.
Few levels which may spoil the sentiment of bulls today which is 15,748 first one and second one 15,800 for Nifty and Bank Nifty 35,000 will be crucial resistance and any big fall can expect only when Nifty breaks 15,500 and Bank Nifty breaks 33,950.
The over all view is positive and levels may spoil the bulls rally so expect sell off in the morning and after that buy on dips or range bound market till end of the day.
All The Best , Trade With Discipline.
Wishing You A Profitable Day.