20. Pre Market Analysis - Dec 21 , 2020
Last week we have seen dip in first half and recovery in second half but stay cautious this week pattern may change and dip may not be fully recovered.
Once upon a time FIIs used to buy more than 4000 to 5000 crores a day but now we are buying around 2500 crores due to year end factor
It is an clear indication for us to not expect any bulls rally in this year , Better expect some consolidation or correction.
This week we have some good news as well as some bad news also there.
Reliance announced first gas from Asia's deepest project . Project is expected to meet 15% of India's gas demand by 2023.
Till Now Nifty rallied without Reliance , Now Today Reliance will take action. Lets see How Nifty will play with Reliance.
CBI detects two new bank frauds worth 8,239.79 crores , both CANARA Bank and SBIN Bank filed a case on two different companies and it may effect on Bank Nifty today so expect some downfall in Bank Nifty.
Last Friday all Pharma stocks performed well.
Coming to Global Markets :- US market closed lower on Friday , Currently Dow Jones Fut fell more than 250 points in the morning now recovering slowly.
All Asian Markets are Negative as of now.
SGX Nifty is down by 50 points.
European market Fut are Down by 1% due to new Covid strain
Coming to India :- Today our markets will open with Gap-down due to Global Market clues.
Many news are mixed today, there are some good news and bad news also and mostly year end factor muting our markets . So be cautious while trading.
Today if our market open with Gap-Down then expect some swings from the lower levels :- 13800 will be the nearest crucial resistance based on OI data and 13700 will be the nearest support based on OI data.
Expect some consolidation or little bit buying push back at 13700 levels and if it breaks then it will fall further.
Bank Nifty wont break 31k by today due to some bad news , 30500 will be the strong support based on OI data and chart analysis also so be cautious at 30500 levels and if it breaks then expect some further fall.
Be safe while European markets opening because European rising tensions due to Covid strain
All The Best , Trade With Discipline.
BONFIRETRADER