Anil Singhvi’s Strategy February 5: IT & Banks are Positive; Buy Exide Futures with stop loss 220

Benchmark domestic stocks on Monday, February 4, 2019, logged modest gains amid mixed cues from global markets. The Nifty 50 at the National Stock Exchange climbed 18.60 points, or 0.17%, to close at 10,912.25 while Nifty Bank was up by 100.65 points, or 0.37%, to end at 27,186.60. The S&P BSE Sensex also added 113.31 points, or 0.31%, to settle at 36,582.74.

Titan Company and ONGC went up by 3.32% and 3.28% respectively were the top gainers of the day while Indiabulls Housing finance, which declined 4.21%, was the top loser. 

Amid neutral global market, domestic institutional investors (DIIs), future and option (F&O) and foreign institutional investors (FII) and cautious sentiments cues, the short-term trend of the Indian market will be positive on Tuesday, February 5, 2019. 

Zee Business's Managing Editor Anil Singhvi's Market Strategy for February 5:

10,900 and 27,200 are going to be the deciding levels on Nifty and Bank Nifty.

The small and medium trading range on Nifty lies between 10,825-10,975 and 10,800-11,000 respectively. 

In the case of the Bank Nifty, the small trading range stands at 27,050-27,300 while the medium and extreme ranges reside between 27,000-27,400 and 26,900-27,500. 

Traders are advised to reduce their buying positions if the two indices, Nifty and Bank Nifty, closed below the mark of 10,800 and 27,000. 

Buy and Sell Strategy on Nifty

Buy Nifty in 10,825-10,850 range with a stop loss of 10,800 and target 10,925, 10,950, 10,975. 

Sell Nifty in 10,975-11,000 range with a stop loss of 11,050 and target 10,950, 10,925. 

Buy and Sell Strategy on Bank Nifty

Buy Bank Nifty in 27,000-27,050 range with a stop loss of 26,900 and target 27,350, 27,450.

Sell Bank Nifty in 27,450-27,550 range with a stop loss of 27,700 and target 27,350, 27,250.

The put-call ratio (PCR) stands at 1.67 and the volatility index (VIX) is 15.72.    

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Sectors:

Positive: IT, Banks

Negative: Oil Companies

Result Analysis:

SRF: Futures range 1900-2000. Results below expectations, management concall in the afternoon will give direction. 

Stock of the Day:

Buy Exide Futures: Stop loss 220 and target 240. Good results, Short covering expected.