75. Pre Market Analysis - March 23 , 2021
Nifty closed flat with 7 just points negative and Bank Nifty closed 560 points lower.
All Banking stocks and Reliance are under performing now.
IT , FMCG , Pharma stock are the only stocks which gave support to Nifty on yesterday and helped to closed in flat.
FIIs sold 786.98 crores and DIIs bought 542.70 crores.
US bold yields getting cool off and from last 7 trading sessions our markets already fell a lot mainly Bank Nifty , Now its to consolidate or reversal on our markets.
But we can expect fast recovery when weightage stocks starts performing and as of now they are under performing so expect some consolidation until they get into the action.
As a trader we need to know when to trade and when not to trade because from last 7 days markets was under severe selling pressure now still many people are expecting fall and buying PE and short selling some stocks due to high expectations on lower side but it is not going to happen according to their expectations.
Whenever markets rallied or fell a lot in short period of time , definitely they will try to consolidate for sometime or else they will correct the market and so the one who made money from last 7 days don't loose now , sit back and enjoy with the money which you made and better stay away now and observe the market how it is making the moves.
More over Bank Nifty is taking support at 33,500 strongly and the chances of consolidation or correction will be high at that level.
Today focus on banking stocks as Supreme court to pronounce judgement in loan moratorium case today so any bad or good news can make 500 points on any side.
Coming to global markets :- US markets closed higher and UK markets closed with flat.
Currently Dow Jones , Nasdaq and UK futures are trading with flat in negative bias.
All Asian markets are mixed.
SGX Nifty is up by 36 points as of now.
Coming to India :- Expect one more flat opening day on our markets today.
Today any news about loan moratorium will decide the direction of our markets until that, expect some wild swing moves with high volatility to adjust the premiums .
The one who is looking for support and resistances based on OI data :- Nifty had a resistance at 14,800 and next one will be at 15,000 and crucial support at 14,650 level and 14,500.
Bank Nifty had a crucial level at 33,500 for downside and resistance at 34,500 .
All The Best , Trade with Discipline.
BONFIRETRADER