Anil Singhvi’s Strategy April 22: Oil & Gas, Metals, Banks & NBFC sectors are Negative; Sell ONGC Cash with Stop Loss 71

Anil Singhvi’s Strategy April 22: Amid negative global market, foreign institutional investors (FIIs) and sentiment, neutral domestic institutional investors (DIIs) and futures & options (F&O) cues, the short-term trend of the Indian stock markets will be neutral on Wednesday, April 22, 2020.

Domestic shares slumped on Tuesday, April 21, 2020, mirroring weak global shares after the historic overnight plunge in US crude oil to below zero, which highlighted the economic damage caused by the coronavirus-led lockdowns.

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The barometer S&P BSE Sensex slumped 1,011.29 points or 3.20% to 30,636.71. The Nifty 50 index lost 280.40 points or 3.03% at 8,981.45. Likewise, Bank Nifty lost 1,113.30 points or 5.42% to settle at 19,409.35.

Banks shares witnessed major selling pressure. Shares of IT companies also declined after US President Donald Trump temporarily suspended all immigration into the United States.

Zee Business's Managing Editor Anil Singhvi's Market Strategy for April 22:

Strong Support Zone on Nifty is 8,600-8,750 and Bank Nifty is 18,750-19,050.

Strong Sell Zone on Nifty is 9,050-9,250 and Bank Nifty is 19,900-20,400.  

The small day range on Nifty is 8,900-9,050, while the medium and bigger ranges are 8,825-9,125 and 8,750-9,250 respectively.

The small day range on Bank Nifty is 19,150-19,700 while the medium and bigger ranges are 19,000-19,900 and 18,750-20,400 respectively.

For Existing Long Positions:

Nifty intraday and closing stop loss 8,900.

Bank Nifty intraday and closing stop loss 19,000.

For Existing Short Positions:

Nifty intraday and closing stop loss 9,125.

Bank Nifty intraday and closing stop loss 20,000.

For New Positions:

Sell Nifty with a stop loss of 9,125 and target 8,925, 8,875, 8,825, 8,750.

Buy Nifty in 8,750-8,825 range with a stop loss of 8,600 and target 8,900, 9,000, 9,100.

Sell Bank Nifty with a stop loss of 20,000 and target 19,200, 19,000, 18,800.

Buy Bank Nifty in 18,700-18,900 range with a stop loss of 18,500 and target 19,050, 19,150, 19,400.

Put-Call Ratio (PCR) is 1.22 and the Volatility Index (VIX) up by 4% to 45.20.

Sectors

Negative: Oil & Gas, Metals, Banks, NBFCs.

Stock Of The Day

Sell ONGC (Cash): Stop Loss 71 and target 67, 65, 63.