This is the excerpts from my morning market view that is posted early in the morning in my blog. This is not a prediction or trading tip. This is an analysis of premarket macro narrative.
European and US futures in Asia session are rebounding from yesterday’s panic sell-off
Asian Market fall this morning is not as sharp as it was in EU/ US markets
Major sell off in global markets
Both FII & DII sold in cash yesterday
Global Markets: Sell off
Both US and European markets saw a sharp selloff. What started off as profit booking after Federal Reserve policy decision has snowballed in to panic selling that sent markets sharply lower.
Panic spread to most of the other asset classes as well such as emerging market ETFs traded in US, High yield bonds etc. One exception was emerging market currency index, the fall was not as sharp as it was in other asset classes. Safe haven assets Japanese Yen was sharply up while gold and dollar index reacted less. The US volatility index was up sharply also.
ASIAN Markets this morning: - Negative
Asian markets are trading in negative territory. However, they are down about 1-2% which is much lessor than what developed markets witnessed yesterday. SGX Nifty is trading about 250 points below yesterday’s Nifty close. SGX Nifty is actually recovering from yesterday night lows.
India’s Trade balance, current account situation and forex reserve position will be released today after market closes.
India : What about Nifty?
The Indian markets have been at the mercy of global mood for while. The panic sell-off will definitely have an impact and markets are likely to open sharply down. It’s easier to know the how markets will open today but what happens after sharp gap down and how to trade in these markets requires skill.
What may happen today after gap down? Lets find out here
Disclaimer: Author is not responsible or liable, directly or indirectly, for any form of damages whatsoever resulting from the use (or misuse) of information contained in or implied by this posting. This should not be relied on as a source of financial, investment or trading advice. What works for one individual may not work for anyone else. Always consult and check with your financial advisor. I am an active trader therefore I have conflict of interest with whatever I have mentioned here.