88. Pre Market Analysis - April 19 , 2021
Markets took 3days to recover the last Monday fall .
Nifty closed with a gain of 36 points with a help of Auto , FMCG , IT , Pharma sectors and Reliance , Banking stocks and Metal stocks are dragging the market.
First time our markets are struggling to move in one direction , as we are sitting with positive global clues and negative domestic clues.
Dow Jones is making new ATHs everyday but our markets are struggling to move higher due to rise in Covid cases in India.
Wipro shot up 9% after it came up with best result of last 10 years and which helps Nifty to pull back from lower.
Remember Friday Nifty struggled to move higher even most of the stocks are closed in positive ,as you can see Nifty Advances 36 and Declines just 14 but still Nifty struggled to move higher. Do you know why?
It just because of Weightage stocks like Reliance , ICICI Bank , HDFC Bank , Kotak bank etc....and those are the main stocks which dragged market. its very important to track weightage stocks while predicting the market as we all know Financial sector stocks and Reliance almost contribute 50% so track those stocks while predicting the market.
Most of the IT stocks quarterly results came up with good number and last one stock HCL Tech is declaring their result on Friday.
HDFC Bank declared their result on Saturday and it is not bad result , lets see today how it will react.
Today ACC, ICICI prudential life is declaring their results and Friday HCL Tech and Saturday ICICI Bank ,these are the main important stocks of this week.
FIIs and DIIs were both on buying side as FIIs bought 437.51 crores and DIIs bought 657.55 crores .
Coming to global markets :- US markets made new ATH on Friday and Currently US and UK futures are trading in negative.
Most of the Asian markets are trading at lower except China and Hongkong markets.
SGX Nifty is down by 176 points as of now.
Coming to India :- Today we may see big gap-down in our markets based on SGX Nifty and global markets clues.
Majority of the states are putting lockdown and that's why investors are getting panic to hold their positions so expect some weakness in our markets.
markets are purely moving based on Covid cases and domestic news and results and keep tracking the news if any negative news come then markets may fall further but don't chase todays gap-down if it is huge and expect some pull backs at lower level.
We have only 2days to go for expiry and Wednesday is holiday so expect high erosion with expect volatility on both side premiums
Remember one thing one fine day these Covid cases number definitely come down and that time our markets rally very fast so don't expect this fall so much and try to invest your money on few selective stocks which is damaged on these days and try to buy at every lower level and hold it for few days and make good profits.
The one who is looking for support and resistances based on OI data :- Nifty had a crucial support at 14,500 and if it breaks then expect up to 14,400 and resistance at 14,800 and 14,900.
Bank Nifty may take support at 31,500 and 31,000 and resistance at 32,500.
All The Best , Trade With Discipline.