All you Need to know about Stock Markets

U.S Markets closer lower yesterday. Right now Dow futures are slightly higher. Surprisingly SGX Nifty is indicating a gap up today. Bears would love to sell this kind of gap up. In such a bearish trend gap ups tend to be sold into. Gap downs tend to be bought into. Yesterday Nifty opened with a large gap down. This gap down got bought into. Market was firm throughout yesterday after a large gap down. India VIX had crossed 20 Yesterday at open. IT Index after a large rally again seems to be under pressure. This year isn't a trending year for the markets. This is a complete Consolidation Year with huge sideways movements. In this market one cannot trade each and every day and also all the time. That becomes very much difficult. Whenever you say expect a 1000 point trade on index you enter take profits and sit on the sidelines. This is the best way to approach this kind of high volatile markets. I expect markets to be bearish over the short term. 17200 is a good support fo...

U.S Markets crashed on Friday. Asian markets are down. SGX Nifty is down 400 Points. This is a serious & a large gap down. On Friday , Fed Chairman indicated pressure for the Economy. He also hinted recession in U.S is highly likely and rate hikes are the only option to curb the pressure. This has led to a massive sell off in U.S Markets. Dow Jones crashed 1000 points on Friday and S&P 500 and Nasdaq crashed % each. U.S VIX rose 15% on Friday. This indicates fear among traders. I expect U.S Markets to break the recent lows. The recent low was near about 3600 on S&P 500. Which is 10% lower from the current levels. Indian Markets might not fall as much as Global markets. But we will definitely not go higher. My view is Bearish right now. There may be short covering bounces which may surprise you in between. Also the Volatility will be extreme from here. Stoploss for Short trades is 18k. Downside targets are open and will be updated based on markets trend. Nifty mi...

U.S Markets closed higher Yesterday. Asian markets are mostly higher. SGX Nifty is up 150 points. Yesterday it was a treacherous expiry. Until 1 pm markets were rangebound. Nifty was trading in a band of 100 points. But then there was a sudden sell off in the Markets. Most of the Nifty stocks fell from days high to close at days low. Volatility has picked up since the last week. Nifty from 18000 went to 17350 and then 17700 finally closing below 17500. This was the Volatility in the last week. Yesterday I expected FII sell figure as markets fell drastically after 1 pm. To my surprise institutional net figure was positive  Why had markets made such erratic move despite the same is a burning question. Reason might be due to expiry related issues. Yesterday was the monthly plus weekly expiry. So during such expirys markets tend to be more volatile. We are starting off September series with a positive note with today's gap up  Nifty might Trade between 17600 to 17800 t...

U.S Markets closed higher Yesterday. Asian markets are slightly higher too. SGX Nifty is up 80-100 points  Yesterday was kind of a rangebound session. Institutional activity was quite less  FII's after continuous selling finally bought yesterday. Even though the amount isn't that significant of 500 crores thereabouts. 17600 short straddle has the highest open interest for today expiry. Calls and Puts have been sold at every level. This Indicates traders are not expecting a big move on the expiry day  Due to any reason once market makes a big move then these writers will be in trouble. U.S Markets for very short run seems to have bottomed out. There was a ferocious selling in 3 days Nasdaq fell 6%. Dow Jones and S&P 500 also fell. From last two trading sessions situation has been stabilized. I feel today might be a consolidation expiry. August month has been very good for Bulls. Though Nifty was unable to cross 18k. This Month has given positive returns on ...

U.S Markets closed slightly lower yesterday. Asian markets are slightly lower too. SGX Nifty is down 30-40 points. Yesterday was a highly volatile day trading day. Whole of August markets were trending. But this last week markets have been hugely volatile and making large moves on daily basis. Unless this Fed event subsides expect markets to be the same way. India VIX was higher yesterday too. Yesterday markets broke important support of 17500 but closed above this level towards the end of the day. Adani group stocks were hit badly yesterday. There was a report from leading credit agencies that said Adani group stocks are debt laden. Debt is overpowering in this group and that could cause a damage financially. Adani is also competing Reliance is few of the businesses and that could bring a price war. It's better not to discuss Adani group stocks as the valuations are sky high and trading there is next to impossible. It's news driven stocks. My experience with news d...

U.S Markets crashed Yesterday. Dow Jones closed lower by 600 points. Nasdaq was down more than 2%. U.S VIX rose 15% yesterday. These are not good signs for the Bulls. Asian markets are lower as well. SGX Nifty is down 100 Points. 17400 is level we are likely to open. Yesterday as soon as markets opened it kept going lower and lower  There were just short bounces of 20-30 points but the price action was fully against the Bulls. First Nifty paused near 17600 and this got taken out. Then 17500 got crushed out towards end of the day. Both FII's & DII's were net sellers Yesterday. Markets all over the World have rallied over 15% in just 1.5 months. Ahead of Fed meeting this week there seems to be huge profit booking. Price action gives an indication that market is pricing in some future expected negative news. Big players know it before us. 17500 PE had the highest open interest for this week. Today this is likely to break at open and we can expect more downfall. 174...

U.S Markets closed lower on Friday. Asian markets are higher. SGX Nifty is close to 17700. Markets in Friday second half were highly volatile. Nifty spot went close to 18k. Then from there profit booking began. It was so severe that Nifty fell 250 points from high  Bank Nifty was even worse  Such type of corrections happen in bull market. This isn't the first time we are witnessing the same. There was no reason for such fall it was just profit booking close to weekend. Markets have had a fantastic one way rally from 15200 to 18000. There should be no complaints if there is minor profit booking. 17600 is the next strong support now. 17900 CE has got the highest open interest after Friday's fall. There ain't much stock specific news over the weekend. PVR is the stock on my radar. In such a Bullish market this stock is down 14% in last 1 Month. This is majorly because of poor Bollywood movies. This wouldn't go on for long as they will realise content is the kin...

U.S Markets closed slightly higher Yesterday. Asian markets are mixed. SGX Nifty is close to 17950. Yesterday markets traded flat throughout and now are closer to 18000. 18000 is important as 18000 CE has the highest open interest. Highest amount of calls have been written for 18000 CE strike price. Plus round figures always act as psychological resistance too. Yesterday as Analysed , markets traded within the range of 17800 to 18000. 17800 PE has got highest open interest and 18000 CE has got highest open interest on calls side. Markets might consolidate for some more time in this range. In due time , markets will break out of this range. Chances of breakout above 18000 is quite high. Bank Nifty showed momentum yesterday. It was outperforming Nifty throughout the day. VIX was up 3% at one point of time yesterday but closed a percent lower. These are good signs for option sellers. Last week is generally highly volatile. As the Gamma effect takes over due to low premiums. Ni...

U.S Markets closed Flat Yesterday. Asian markets are mixed. SGX Nifty is close to 17940 right now. Yesterday markets broke out of 17900 and now are closer to 18000. 18000 is important as 18000 CE has the highest open interest. Highest amount of calls have been written for 18000 CE strike price. Plus round figures always act as psychological resistance too. Today is the weekly expiry and as of now the range is 17800 to 18000. 17800 is a strong support level and 18000 might act as resistance. Markets will gain steam once 18000 is taken out. Today could be a side-ways expiry. But nothing can be said as markets can always surprise you. IT Index has crossed 30k. Sensex yesterday hit a landmark of 60k. Sensex and Nifty both are now just 3% away from all time highs. So this isnt just a Bull Market , it's a raging Bull Market. India VIX closed below 18 yesterday. Bank Nifty is close to important levels of 40k. Once these important levels are taken out then we move towards all t...

U.S Markets closed higher Yesterday. Asian markets are mixed. SGX Nifty is close to 17900 right now. Yesterday markets opened with a huge gap up and traded flat throughout. After 3 pm there was a 50 points short covering in Nifty. Nifty closed at the highest point of the day Yesterday. When markets close at the highest point of the day & unless there are no significant negative news. Chances of a gap up opening on the next day are high. Similar when Market closes at the lowest point of the day. IT Index is likely to cross the Important level of 30,000. There is not a slight indication of reversal yet. When Market gives you a sign of reversal you should book profits on longs. When there are no such signs it's better to keep riding the long Positions. FII's are momentum traders. Once they start buying they won't go back. They continuously keep buying and buying and buying. 18000 CE has the highest open interest in monthly options. Once this level gets taken ou...

U.S Markets closed higher on Friday and Monday. We had a holiday Yesterday but U.S Markets were open. SGX Nifty right now is above 17800. 17800 is a very important resistance zone for the markets. Closing above this would mean 18000 is on the way. Anyways my advice would be not to chase this gap up. Markets would provide you opportunity to enter on dips  Asian markets are higher. 17500 PE has the highest open interest in monthly options  18000 CE has the highest open interest among call options. We have 8 trading sessions left and this seems to be the range for now. 17500 to 18000 is the range for now and expect markets to consolidate In this range for a while. However the way markets are moving I won't be surprised if market tries to break 18000. There was an unexpected news related to Rakesh Jhunjhunwala 's demice. The stocks in which he had a large amount of holdings could be under pressure today. Just because of confidence shake out amoung people. Bank Nifty on...

U.S Markets closed flat Yesterday. The closing was as flat as it can get. Dow futures are slightly higher right now. Asian markets are flat. SGX Nifty is +20 points. Today we are going to have a low volume trading session. As Monday is Independence day. Many market participants are off to a Vacation yesterday night. So expecting today to be at least 50% decrease in volumes than usual. Yesterday Market opened with a huge gap up & stayed flat throughout the day. India VIX fell 5% yesterday. This is the price action almost on an everyday basis now. Market opens either with a huge gap up or gap down. Stays flat throughout the day. From November to June Intraday traders were finding it easier to trade because of huge gaps. Now positional traders are making lots more money as Market is moving along a trend  There are no sudden reversals nor news flow. So no strategy works always. Every strategy has its periods of underperformance and outperformance. You need to be sure ab...

U.S Markets closed higher Yesterday. Dow futures are slightly higher right now. Asian markets are higher. SGX Nifty is up 200 points. Yesterday we had a very flat session. Nifty traded within a small range of 100 points throughout the day. Markets were waiting for the U.S Inflation data to be out. Expected Inflation was 8.7% but it came at 8.5% which was much lower than expected. This led to a fierce rally in the markets all over the World. U.S VIX crashed 10% yesterday. This is because another event now is out of the way. Now 17500 becomes a very strong support after today's big gap up. Many market participants still not believing this rally and calling it as a Bear market bounce. I do not think so. Bull market has started in July and this is a continuation of the same  FII's have been net buyers in previous 9 trading sessions. They are on a buying spree and once they begin to buy they usually do not stop. Today all the call writers would be in trouble. 17600 , 176...

U.S Markets closed mixed on Friday. Asian Markets are mixed. SGX Nifty is down 40-50 points. We are likely to open around 17500 today. 17500 is an important zone as the previous swing high was 17490. On Monday Markets closed above 17490. SGX Nifty made a high of 17650 in the weekend but due to Flat Global cues it came back to its original level. Indian Markets are making wild Intraday swings compared to U.S Markets. U.S Markets are trading within small range. Markets seem to be waiting now for the Inflation data. Tomorrow we will be having U.S Inflation data. Many countries which have reported Inflation like China etc have reported lower inflation numbers. So Inflation numbers of U.S are also expected to be lower. It will be interesting to see the Market reaction on the Inflation numbers. 17400 PE has the highest open interest in weekly options. 17700 CE added good open interest on Monday. So the weekly range could be 17350-17700. We have an event coming up so this range mi...

U.S Markets closed mixed on Friday. Right now Dow futures are lower. Asian markets are mixed. SGX Nifty is down 20-30 points. We are likely to open flat today. This is a truncated expiry as Tomorrow is a holiday. Premium decay will be faster for options. On Friday I was a bit puzzled looking at market reaction. Before every RBI meet VIX goes higher and so do option premiums. On Friday all options were already down 30% before the meet. This gave an Indication that RBI meet is probably considered as a non - event from market stand point. 17200 to 17500 is the range for nifty currently. Within this range Nifty is making wild swings. This week we have the most important U.S Inflation data coming up on Thursday. Before this Data markets could be sideways. Expected Inflation is 8.7%. SBI posted it's results and they were below Street estimates. Bank Nifty might underperform today. Nifty if crossed above 17500 should provide a huge short covering. Nifty might Trade between 172...

U.S Markets closed mixed Yesterday. Nasdaq closed in green but Dow Jones closed slightly negative. Asian markets are mostly higher. SGX Nifty is up 70-80 points. Yesterday was a highly volatile trading session. Nifty futures af one point of time crossed 17500 & from there it fell drastically. Nifty even broke 17200 at one point and then there was huge recovery in second half. India VIX was up 12% at one point of time. As soon as Nifty fell below 17200 I checked Global markets. All the Global markets were trading normally without any negative bias  It was just our market which was Volatile yesterday. Reason is weekly options expiry. Yesterday was the weekly expiry and when there's huge put writing or call writing on one side and that level gets broken. It leads to big moves. Today we have the RBI meeting. RBI is expected to raise rates by 40 basis points. Most importantly , the commentary will be watched keenly by the market participants. Anything below 40 basis poin...

U.S Markets closed higher Yesterday. U.S Markets have recovered all of their losses of Monday and Tuesday. Just Yesterday in a day. SGX Nifty is higher by 90-100 points. Asian markets are higher. Yesterday markets crossed the swing low of 17380 in the final hour  That gave us an Indication regarding how Bullish the Market is. 17500 is the next resistance now. Bank Nifty is super bullish. In this Bull Market I expect Financials to lead the rally. Which we are already witnessing from past month. Tomorrow we have RBI policy so today last hour Bank Nifty might get Volatile. This is clearly a buy on dips market. Each dip is being bought and Market inches higher the next day. Yesterday I had adviced to go long near 17200 and this trade played out really well. Nifty in the first hour was negative and trading near 17200 but closed at the highest point of the day. 17200 is now a very major support for the markets. Next leg of rally will begin only once Nifty closes above 17500. ...

U.S Markets closed lower Yesterday. Yesterday was 2nd consecutive day of negative closing in U.S Right now Dow futures are slightly higher. Asian markets are trading mixed. SGX Nifty is trading close to 17370. Today we are about to open flat / positive  Yesterday was an intense volatile trading session. Nifty and Bank Nifty have made huge swings yesterday. This is because of Global issues. U.S - Taiwan issue has been escalating from past 2 days. Due to this markets are jittery. India VIX inched 6% higher yesterday. 17200 PE has the highest open interest. Traders must have sold it near 30-40rs so 17200-17170 should be a very strong support for Nifty  Yesterday as well Nifty bounced back very close to 17200 itself. Bank Nifty is in a raging Bull Market of its own. SBI has rallied one way from 450 to 540 yesterday. 550 was the previous all time high of SBI. SBI has its results on Saturday and I am expecting Blockbuster numbers. Once 550 is taken out then there's no re...

U.S Markets closed lower Yesterday. After 4 consecutive massive upward days yesterday there was a bit of profit booking. Asian markets are trading lower. SGX Nifty is trading close to 17300. Today after many days we are about to open flat / negative. Last 3 trading sessions we opened with huge gap up on daily basis. FII's have turned net buyers. They have bought for over 2000+ crores yesterday. DII's as usual do opposite of what FII's do. DII's booked some profits yesterday. Consolidation is the need of the hour for Bulls. Markets cannot keep going higher at such rapid pace. If it keeps going higher at this pace , as and when fall comes it will be severe. We have RBI event coming up this Friday It's better if we don't go into the event with huge optimism. India VIX was up 6% yesterday after many days. Bank Nifty is now close to 38000. Just before a Month I was hearing about recession everywhere. The term recession has been wrongly interpreted. There ...

U.S Markets closed higher on Friday. Asian markets are mixed. Dow futures are lower  SGX Nifty is higher by 90 points. Markets are on steroids. There is non stop rally from 16400. Markets made a low of 15200 and now have recovered 2000+ points. Nifty & Bank Nifty are above 200 DMA which indicates the strength in overall market. Markets rallying one way without consolidation in between is also not good  As and when the profit booking arrives it will be very severe. Fed event is out of the way now. Now this week we have RBI meet which will be in focus. China - Taiwan news is floating around which I sense won't have any major impact as of now. If this thing escalates then we have to see the impact. 17000 is a good support and now resitance will come around 17300-17400 on Nifty. Markets texture has now been changed. Previously it was a sell on rally market. Which had huge Volatility going. Now its a buy on dip phase. Nifty might Trade between 17100 to 17400 today. ...