155. Pre Market Analysis - Aug 08 , 2021
After long time Nifty broke the big consolidation zone and made fresh record high on yesterday with a help of Financial , IT , FMCG , Reliance stocks.
Where as Nifty shot up 245.60 points , Sensex rallied 873 points and Bank Nifty jumped 497.45 points.
Few stocks rally happened due to short covering not long build up like HDFC , Axis Bank etc...
We keep on telling everyday about FIIs ,once they turn to positive then we may see ATH and exactly everyone witnessed this on yesterday .
Morning session markets went with buy on dips and when SBIN gave 2% move in 5 minutes and it boosted all banking stocks to fly and along with Reliance also rallied , all these lightened the fire on Nifty where Nifty rallied 245 points in single day and that is the power of FIIs so now everyone understood why we need to track FIIs numbers on everyday.
Where as FIIs bought 2116.6 crores in single day which is an incredible come back and as usual DIIs did opposite to FIIs by tanking just 298.54 crores.
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 flat.
Most of the Asian markets are trading in green.
SGX Nifty is up by 82 points of now.
Coming to India :- Today our markets may open with gap-up based on SGX Nifty and global markets clues.
Yesterday in our live session we said to our live participants to carry CE positions for next day and we took this decision purely based on data and every data is supporting to us, so many of our traders are carrying their CE positions .
If today Nifty open with more than 100 points gap-up then markets may go with buy on dips in the first half and after that markets will react based on SBIN results which is very important for us to track because they are declaring the results in market hours so risk trader can trail their stop loss and safe traders satisfy with gap-up profit in the morning , its completely depends on your risk management .
Intraday options scalpers we suggest to avoid trade in the result announcement time and once results come then markets will make big moves so cautious at declaring time and
If its is big gap-up then wait for dip ten enter as today every dip will be an opportunity to enter and avoid afternoon trades due to Wednesday.
Its very hard for Nifty to breakdown 16,000 again so it will be buy on dips for sure and bank Nifty still need to break 35,715 level to expect aggressive rally which is more than 500 to 1000 points and may be it will happen today based on SBI results so focus on that.
Downside watch 35,000 level for bank Nifty and 16,000 for Nifty .
Overall view is buy on dips in the morning and after that SBI results will decide the direction.
See you all in the tomorrows live session which will be interesting with SBIN results.
All The Best , Trade With Discipline.
Wishing You A Profitable Day.
BONFIRETRADER.