Anil Singhvis Strategy January 22: Market Trend is Neutral today; Buy Vedanta Futures with Stop Loss 152.50
On account of neutral DIIs, F&O and negative FIIs, the short-term trend of the Indian stock markets will be neutral, says Zee Business Managing Editor Anil Singhvi.
Amid neutral global markets, domestic institutional investors (DIIs), futures & options (F&O) and negative foreign institutional investors (FIIs) cues, the short-term trend of the Indian stock markets will be neutral on Wednesday, January 22, 2020, while sentiment is cautious.
At the stock markets, key indices fell for the second straight day on Tuesday, January 21, 2020. The sentiment was dented after the International Monetary Fund (IMF) lowered India's growth forecast. Subdued quarterly results by key index constituents and negative global cues also put pressure on domestic shares.
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The Sensex at the Bombay Stock Exchange dropped 205.10 points, or 0.49 per cent, to end at 41,323.81. The Nifty slipped 54.70 points, or 0.45 per cent, to 12,169.85 and Bank Nifty lost 133.10 points, or 0.43 per cent, to 30,947.55. Tata Steel (down 3.29 per cent), Mahindra & Mahindra (down 2.86 per cent) and Tata Motors (down 2.44 per cent) were the biggest losers on Nifty 50 on Tuesday. Other losers include Asian Paint, Maruti, IOC, Vedanta, Power Grid and Eicher Motors. On the other hand, Bharti Infratel, ZEEL, BPCL, and Coal India ended with gains.
Zee Business's Managing Editor Anil Singhvi's Market Strategy for January 22:
12,200 and 31,000 are the deciding levels on Nifty and Bank Nifty.
The small day range for trading on Nifty is 12,150-12,200, while the medium and bigger ranges are 12,115-12,225 and 12,050-12,275 respectively.
The small day range for trading on Bank Nifty is 30,850-31,075, while the medium and bigger ranges are, 30,750-31,150 and 30,650-31,450 respectively.
Fresh Buying and big short-covering ONLY IF sustains above 12,325 and 31,500 level.
Put-Call Ratio (PCR) is 1.08, alert at lower levels, the volatility index (VIX) is 15.86.
For Existing Long Positions:
Nifty intraday and closing stop loss 12,150.
Bank Nifty and closing stop loss 30,850.
For Existing Short Positions:
Nifty intraday and closing stop loss 12,230.
Bank Nifty intraday and closing stop loss 31,200.
For New Positions:
Buy Nifty with a stop loss of 12,150 and target 12,200, 12,225, 12,250.
Sell Nifty in 12,225-12,275 range with a stop loss of 12,300 and target 12,200, 12,175.
Buy Bank Nifty with a stop loss of 30,850 and target 31,075, 31,150, 31,250.
Sell Bank Nifty in 31,450-31,500 range with a stop loss of 31,600 and target 31,350, 31,250, 31,200.
Still in F&O Ban: Yes Bank
Result Review:
Havells Futures: Results weak, Revenue, EBIDTA below expectations. Lower range 590-600, Higher range 630-640. Cover shorts on gap down opening.
Stock of the Day:
Buy Vedanta Futures: Stop loss 152.50 and target 158, 160, 163. Vedanta may sell stake in oil assets.
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