77. Pre Market Analysis - March 25 , 2021
Yesterday Nifty fell 265 points and Bank Nifty fell 891 points .
Markets fell due to weak global clues and raise in Covid cases in our India but compare to March 2020 fall to this March 2021 is better.
All sectors are under performing .
India VIX shot up 8.6% in single day and raising VIX is completely bearish sign for Indian markets.
FIIs continued the selling number for second consecutive day as first day they sold only 100 crores but second day they sold 1951.90 crores and it was big number and moreover it indicates markets are completely in selling pressure and DIIs bought 612.80 crores.
Bank Nifty broke the crucial level of 33,400 and closed exactly at budget day closing high which will act as strong support and today if it breaks then we may see severe fall today.
Coming to global markets:- US and UK markets closed at lower and currently Dow Jones , Nasdaq and UK futures are trading at flat .
All Asian markets are mixed but most of the Asian markets are trading in red .
SGX Nifty is down by 48 points as of now.
Brent crude raised to 63.4$ and gold is raising which indicates negative sign for all markets.
Coming to India :- Today our markets may open with gap-down based on SGX Nifty and global clues.
We are sitting with complete weak clues so expect our markets to continue the bearish trend by today .
Today is an expiry day so markets play with huge volatility and any rise will be sell off today so dont be on buying side of this complete day.
If markets open with gap-down then its better to expect some consolidation rather than chasing the ride.
Today expect one bulls recovery in the morning session and dont think that its an reversal signal , that is completely sellers trap as they want higher prices to sell thats they are trapping buyers so utilize every raise as selling opportunity and join with big players and make money.
If markets didnt recover in the morning session and continue the sell off then we may see more than 2.5 % fall on our markets.
The one who is looking for support and resistances based on OI data :- Nifty had a support at 14360 which is fridays low and once it breaks then expect further fall and resistance at 14,700 and 14,800 which was added more contracts of this week.
If Bank Nifty breaks yesterday low then it will become strong resistance and 32,500 is an strong support for Bank Nifty so expect some pull back from that level.
All The Best , Trade With Discipline.