All you Need to know about Stock Markets

U.S Markets closed higher on Friday. Dow Jones closed 1000 points higher. It was a huge short covering rally. U.S markets have now recovered more than 10% from their 52 week lows. This is a great recovery considering global cues. Right now Dow futures are slightly lower SGX Nifty was above 18k over the weekend. From last 3 trading sessions , SGX Nifty showed an opening above 17900. But on all the occasions we have opened close to 17800. Will we open today exactly what SGX Nifty has been suggesting. 18000 would be a resistance for this expiry. Aggressive calls have been written plus it's a round number. Round number acts as resistances / supports. Bank Nifty was outperforming for whole of October expiry. Last 2 trading sessions Bank Nifty has been witnessing serious underperformance. This is dragging Nifty too. Reliance is keeping Nifty in check. If we open below 17800 today and cross it during the day then we would be heading towards 18k. The pace of markets has been re...

U.S Markets closed mixed Yesterday. Asian Markets are mixed. SGX Nifty is up 50-60 Points  Yesterday it was again a flat expiry. IT stocks have been falling. Banking stocks have been gaining. This seems like an obvious trade now. Larger range for Nifty is 17500 to 18000 now. Immediate short term range is 17600 to 17800. Bank Nifty range is 41000 to 42000 Expecting Consolidation to continue for a while. Yesterday the ECB has hiked interest rates by 75 basis points. RBI also has informed that they would be revising the monetory policy. They have announced to conduct a meeting on 3rd November. Such sudden meeting gives an indication that RBI may again raise rates. Looking at Inflation and the way other Banks have been raising rates. This seems a larger Possibility now. India VIX is now close to 16. Option Premiums are too low. Expecting VIX to raise before RBI event. That would be a good time for option sellers. As of now premiums are too low so aggressive bets are not adv...

U.S Markets closed mixed Yesterday. The day before Yesterday U S Markets rallied. We had a trading holiday that day in Indian Stock Market. Dow futures are higher right now  Asian Markets are mixed. SGX Nifty is up 300 points. Right now it's trading near 17920. SGX Nifty Seems to be over reacting. We may not open that higher today. 17900-18000 are likely to be stiff resistance zones for the day. Market texture has changed now. Now markets open with a huge gap up or gap down. After such gap openings it's likely to be flat. Bank Nifty near 42000 is a good shorting opportunity. Banking stocks have rallied a lot in past 2 months. IT Stocks are eroding wealth. There's not much steam left in Banking stocks now. When everybody puts money only in few companies that's when it tops out. Now we are also trading at the higher band of trading range of 15200 to 18600. So going long is not worthy. I would be looking for shorting opportunities. Nifty might Trade between 177...

U.S Markets closed lower Yesterday. Dow futures are flat right now  Asian Markets are mixed. SGX Nifty is flat. We are likely to open very flat today. Yesterday I had suggested to buy the dip with a stop of 17400. This trade worked out exceedingly well. Markets have provided a sharp dip yesterday and closed at the highest point of the day. This indicates the trend of the Market. The trend is strong on the upside. Any dip is a buying opportunity. In spite of U.S Markets closing lower yesterday, U.S VIX fell. It fell about 3%. This indicates there is limited downside in the Market. 17400 to 17600 is the range for Nifty currently. Markets are expected to be ranging within this range. Trending move likely to begin only if any of the above level gets taken out decisively. Until then you have to trade the range. Trend is positive, so look to buy on dips. Nifty might Trade between 17420 to 17700 today. stockmarketadvisory.in

U.S Markets closed lower Yesterday. Dow futures are lower right now  Asian Markets are lower. SGX Nifty is down 100-120 points. We are likely to open straight near support zones of 17400-17450. After a good sharp rally for many days , Yesterday was a sort of profit booking day. A positive thing from last 1 Month is markets have been trading within range. Yes , the Volatility is high but its within a specified range. Going forward , I expect the Volatility to decrease. Today's dip is a good buying opportunity. 17400 should be the stoploss for long traders. This turns the risk - reward in favour of Bulls. Next week is a truncated one  There are 3 complete trading sessions for next week expiry. Im expecting an inside candle today. Inside candle means Nifty might Trade within yesterday range itself. Maybe 17400 to 17600 to be today's range. If markets trade rangebound today , the premiums of options would erode further. Nifty might Trade between 17400 to 17600 today. s...

U.S Markets closed higher Yesterday. Dow futures are higher right now  Asian Markets are higher. SGX Nifty is up 40-50 points. U.S VIX is now below 30. India VIX closed below 18 significantly yesterday. As expected, Global Markets have made a short term bottom after the Inflation numbers. Indian local cues have also been Positive. Majority of the Corporate results have been above expectations. Previously, there was a tug of war between bad Global cues and good local cues. During such situations, markets traded violently within a range. Now the Global cues have come in favour. Markets are now trading at swing highs. Further upside cannot be ruled out from here. If you are trying to go long near these levels then your stoploss should be tight. 17400 is the immediate stoploss for Intraday traders. Yesterday during Market hours there was something interesting developing. 17600 PE was being written aggressively which is an ATM Option. This shows the Confidence of the option ...

U.S Markets closed higher Yesterday. Dow futures are higher right now  Asian Markets are higher. SGX Nifty is up 180-200 Points. We will have a gap up opening today as per SGX. Yesterday was the day of Bank Nifty. All the Banking stocks zoomed yesterday and Bank Nifty flew. Reason was the results of Mother Bank , HDFC Bank. When the leader of the pack announces fantastic numbers , it's implied that the pack would also declare good results. U.S VIX crashed 5% Yesterday. Expecting India VIX to close below 18 today. India VIX below 18 is safe. Below 15 is super safe. 17500 is a crutial level to watch out for. As this is the upper band of the range , a close above this would indicate further strength and momentum in the Markets. Bank Nifty is likely to outperform Nifty for this expiry. Will exit all my longs on today's gap up. Would build fresh longs only on a close above 17500. Nifty might Trade between 17300 to 17600 today. stockmarketadvisory.in

U.S Markets closed lower on Friday. Dow futures are higher right now  Asian Markets are mixed. SGX Nifty is lower by 100 points  We will have a gap down opening today as per SGX. On Thursday, Inflation numbers were announced in U.S. Inflation numbers were not as per expectations and still there was a huge rally  On Friday there was selling once again. So markets are trading with huge Volatility but within a range. Nifty broader range is 16950 to 17400. We have huge open interest at 17000 PE & 17400 CE for monthly expiry. Remember that next week Is Diwali and there would only be 3 trading sessions. India VIX also crashed 10% on Friday. This shows traders are betting for a rangebound market. HDFC Bank results have come above Expectations. This week we will be having results of other banking companies too. This is likely to be a stock specific week than index week. Apart from Quarterly results there's no fresh news that markets would be eyeing for. Plus festi...

U.S Markets closed higher Yesterday. Dow futures are slightly higher right now  Asian Markets are higher. SGX Nifty is close to 17300. Big Big gap up on cards today. Yesterday U.S Inflation numbers were announced. Expectation was 8.1% but they came at 8.2% Dow Futures fell 600 points as soon as this news broke out. As soon as U.S Markets opened this big gap down was bought into. Dow Jones recovered from -600 to +850 points. This is some rally. My sense is Markets may have factored in this negative by now  Hence the Yesterday low of 3500 on S&P 500 should hold at least for a month now  Markets bottom out much before the actual event. Also Markets factor in negative news much before the event as well  This is the nature of stock market. One has to understand the Market language in order to make money  Worst Inflation numbers of 40 years and still markets rallying. This is the beauty of stock market. Markets react differently in various situations. ...

U.S Markets closed mixed Yesterday. Dow futures are slightly higher right now  Asian Markets are mixed. Indian Markets are highly volatile between 16750 to 17400. Within this range markets have been making wild swings. Yesterday Nifty did retest 16950 and bounced back sharply from there. Yesterday it was a sharp recovery and Nifty closed at the highest point of the day. Today we have weekly expiry. Generally weekly expirys are volatile. 16950 to 17200 is the range for expiry. In case if we break any of the levels then we might get a larger move during the day  HDFC Bank will be delivering the results this weekend  Banking stocks are expected to deliver good results  Yesterday both the IIP and Inflation data came at negative. Inflation rose to 7.4% and Production also has recuced. So it's a double whammy on both fronts . Next leg of move will be decided by the results of the company's. Until then market is likely to stay sideways. Nifty might Trade between...

U.S Markets closed mixed Yesterday. It was a high volatile session in U.S Markets Yesterday. Similar was the situation for Indian Markets yesterday. U.S Markets were up 300 points at one point of time and then they tested swing lows finally closing mixed. Indian Markets yesterday crashed in last hour and closed below 17k. India VIX shot up above 20 yesterday. Put premiums of all monthly options doubled in last hour itself. Such severe was the fall. SGX Nifty is now up 30-40 points  Asian markets are majorly lower  Today we will be having U.S Inflation numbers  These could make or break the markets. Upto some extent I expect markets have factored in the same. Relief rally can be expected with possibility of a small downside. All the Bluechip stocks got sold heavily yesterday. IT Stocks opened higher after TCS results but got sold off during the day. Bank Nifty outperformed Nifty yesterday. I used yesterdays fall as an opportunity to sell monthly Puts 16400 and ...

U.S Markets closed lower Yesterday. Right now , Dow futures are slightly lower. SGX Nifty is hovering around 17150. Indicating another gap up today  Asian markets are lower  Yesterday TCS came out with results and they seem good. After the results of TCS , all the IT Stocks ADR's have moved higher. ADR stands for American Depository receipt  Indian stocks are traded in foreign markets so that if any FII's are interested they can buy and trade. These do not indicate exact movement of the stock the next day but provide a broad idea. Markets are now waiting for the Inflation numbers. They are due tomorrow ie , Wednesday night as per IST. That's the reason markets are jittery before the Inflation numbers announcement. Yesterday there was a dramatic recovery since Market opening. Nifty didn't even test 17000 and closed above 17200. People are ready to buy on dips. In spite of such bearishness across World markets we are holding on. I expect the same range of yest...

U.S Markets closed lower on Friday. Right now , Dow futures are slightly lower. SGX Nifty is hovering around 17050. Big gap down opening is on cards today. Reason is the U.S Jobs data announced on Friday. Asian markets are lower. U.S Jobs data highly above Expectations. This triggered another large rate hike fear in U.S Markets. Nasdaq crashed 4% on Friday. FII's also sold heavily on Friday. They have sold for 2500 crores. FII's short position is now more than 80%. They have been carrying heavy short Positions offlate. First support should kick in near 17000. 200 DMA is close to 16800 so this should be the next major support. Accenture has declared okayish results but the guidance has not been good. This week we are going to have IT company results. Markets are going into results season with muted Expectations. That's always better than going in with high expectations. Nifty might Trade between 17000 to 17300 today. stockmarketadvisory.in

U.S Markets closed lower Yesterday. Right now , Dow futures are slightly higher. SGX Nifty is hovering around 17300. After a long time we are going to have a flat opening. Everyday we have been used to gap up / gap down openings. Yesterday I had advised not to chase gap up. Markets rallied more than 500 points  And another gap up doesn't have risk reward in our favour. Buying Opportunity was close to 17200-17250 and today we might get that opportunity. Upper resistance comes around 17500. Expect Nifty to consolidate within this range for a while  If 17200 breaks we would be retesting 17000. Bank Nifty has also recovered from lows. Financials are showing strength. Today is Friday and generally Friday's are highly volatile. FII's like to book profits on their positions so they might do some profit booking today in 2nd half. FII short Positions are between 75-80% now. This indicates a highly oversold territory. Nifty might Trade between 17180 to 17480 today stockma...

U.S Markets rallied on Tuesday. Yesterday they were majorly flat  Right now , Dow Futures are higher. SGX Nifty is up 100-150 Points. Asian markets are higher. U.S VIX fell 5-6% over previous 2 trading sessions. VIX crashing indicates stability and reduction of Volatility over the coming days. This is quite beneficial for Option writers. Indian Markets broke out of 17200 zone which was a major hurdle. Now markets have turned Bullish. 17200 is the stoploss for long Positions now. Markets have now become very difficult to trade. Mondays low was 16900 and now we are at 17400. These market swings with huge gap openings are going on since past 1 year  This is also a market phase and would end soon. Markets would come to terms sooner than later. Due to this Mayhem in the Global Markets & excessive news flow , Volatility increases. 17200 to 17500 is the immediate range for Nifty. Look for dips close to 17200-17250 to go long  Do not chase gap ups  You will h...

U.S Markets closed higher Yesterday. Right now , Dow Futures are higher  SGX Nifty is up 200-250 points  This is a serious gap up opening today. Yesterday markets closed at lowest point of the day. Lowest point of the day as per Technical Analysis indicates bearishness. Many People have sold huge call Options Yesterday. These people will face huge trouble today. Tomorrow is a trading holiday so we have only 2 working days for this expiry. Yesterday, in the first half I had sold call Options and squared up towards the end. During the end of the day I felt that Premiums are unreasonable. India VIX was up 7% Yesterday without any reason. 17500 PE which is 400 points away was trading at 25rs. There wasn't any news flow and with 2 days left for expiry it was a mouth watering premium. So today at gap up itself the account handling clients including me will make good return. One of the days where gut feeling works straight away. If there wouldve been a gap down we would c...

U.S Markets closed lower on Friday. Right now , Dow Futures are lower. SGX Nifty is down 100-120 points  Asian markets are mostly lower. Friday session was a intense volatile one. Before RBI press conference , markets were down. As soon as it got over , there was a heavy short covering rally. This rally had powered Nifty above 17k. Trend is sell on rally. There will be powerful short covering rallies. In due course , they would be sold into. U.S Markets look very weak  Apple is down 10% now in last week. When Bluechips start to callapse that's when markets bottom out. Bottom is quite far away now. I don't think it's been done yet. U.S VIX is still above 30. This is a dangerous sign  Look to sell on rallies and prefer only trading Intraday. Carrying over Positions is quite risky in this environment coz of huge gap openings. Nifty might Trade between 16800 to 17100 today. Range on Friday was too big  Expecting an inside candle / consolidation today. stockma...