Yesterday US markets have closed on the positive note with 1.72% to 2.5% gain in their Stock Market. The reason for this optimism is the Donald Trumph tweet on ” A possible agreement between Russian and Saudi Arabia Related to Oil Production Cut”.
This tweet has pushed the oil prices in yesterday trade. The prices have increased to as high as 34% for both Brent and NYMEX. This is the second best oil prices surge in their history in one day.
Yesterday, US markets has ignored the Corona Virus issue. The bad news for their market is the virus cases are increasing at face rate and now stood at 226978 and death of 5343. Also US unemployment weekly data reported 6.6 million Americans applied for unemployment benefits last week. This is double the previous week data. It has surged five times to record set in 1982.
Morning Report on Asian Markets
This morning, Asian Markets are trading on mix note where indices like Nikkei 225, Kospi, SET Composite and Jakarta Composite are trading in positive note. Markets like Straits, Hang Seng, Taiwan and Shanghai Composite are in negative territory. Putting pressure on SGX Nifty as is also trading in negative territory.
What should be your trading strategy for Indian Markets today?
- In morning, a news is flashed on TV that Prime minister will address the nation at 9.00 am is the major clue for the day. This will highlight whether 21 days lock down will get extended or not.
- On Wednesday, Nifty has broken 8244 level formed on Monday and seen a low of 8198 level. This is bad news for our market as this can extend weakness for the day. For today, crucial level is this low of 8198. If Nifty breach this level then you can open new short and look for target of 8000-8100 level today itself.
- On the upside, the markets are finding resistance near 8700 level and then at 9000 level. If nifty start trading above 9000 level then it can move to 10000 level which looks a difficult task for now on Nifty. Today, Open long in near Nifty only if it start trading above 8350 level. That will show some strength for the day.