32. Pre Market analysis - Jan 07 , 2021
Updated: Jan 8, 2021
Nifty fell 200 points from Intraday high and recovered half of the fall by the end of the day.
Weightage stocks like HDFC twins , Reliance , ITC , Infy dragged Nifty.
Bank Nifty fell 400 points from intraday high and recovered just 180 points and closed lower side.
HDFC bank , AXIS bank are the only stocks which drags Bank Nifty.
Yesterday Nifty fall is not an reversal signal , Its just a small profit booking and it is bullish market only.
FIIs sold 483.64 crores and DIIs sold 380.41 crores.
Few Months back they started pumping with more than 6000 to 8000 crores in a day now they are pumping below 500crores and its an clear indication for us that they are taking some breathe , now can book their atleast half of their profits.
So expect some or consolidation before any move and Global markets are one of the reason which pushes our markets at higher levels.
Track US Markets and SGX Nifty everyday because US markets are the father of stock exchange, if it reacts then most of the markets will react .
Coming Global Markets :- Yesterday US markets closed higher and Currently Dow Jones Fut trading higher.
All Asian Markets are mixed.
SGX Nifty touched 14300 yesterday and its an ATH and Currently trading at 14250 up by 70 points .
Coming to Our Markets :- Nifty might break ATH today in the opening time based on global market clues.
For the First time yesterday FIIs sellers are more than buyers so be cautious on buying side and we are at higher levels also so expect some selling pressure.
If our markets open with gap-up then expect atleast one round for sellers.
Today is the first expiry of the year and it wont end like as usual days , today definitely market will take both side moves and Biden is almost at winning edge so any sudden moves wont be surprise us because we already know those moves will come .
The one who is looking for Open Interest data :- 14500 CE was highest OI and 14000 PE was highest OI.
Bank Nifty had a resistance at 32k and support at 31,500 & 31,000.
All The Best , Trade with Discipline .
BONFIRETRADER