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

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Benchmark domestic stocks on Tuesday, July 21, 2020, surged more than one per cent amid positive global cues. Global shares advanced as European Union (EU) leaders agreed on a 750billion euros package aimed at funding post-pandemic relief efforts in the region. 

Hopes for a coronavirus vaccine also lifted risk appetite. The first set of results from early-stage clinical trials of the Oxford University COVID-19 vaccine candidate show the vaccine is safe and induces an immune reaction.

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Sensex at Bombay Stock Exchange closed 511 points, or 1.37 per cent, up at 37,930. The Nifty at National Stock Exchange climbed 140 points, or 1.27 per cent, to settle at 11,162. Both these indices jumped about 5.25% in five sessions. Similarly, Bank Nifty gained 460 points, or 2.06 per cent, to settle at 22,782. In the broader market at BSE, the Mid-cap fell 0.22 per cent while the Small-cap logged a gain of 0.24 per cent.

Zee Business’s Managing Editor Anil Singhvi’s Market Strategy for July 22: 

Day support zone on Nifty is 10,950-11,050 and the higher range is 11,300-11,400.

Day support zone on Bank Nifty is 22,400-22,600 and the higher range is 22,900-23,050, above that 23,300-23,450 is strong sell zone.

The small day range for trading on Nifty is 11,125-11,250, while the medium and bigger ranges are 11,050-11,300 and 11,000-11,350, respectively.

The small day range for trading on Bank Nifty is 22,600-23,000, while the medium and bigger ranges are 22,500-23,200 and 22,400-23,400, respectively.

Put-Call Ratio (PCR) is 1.87, overbought, cautious at higher levels, fresh buying only if close above 11,200, profit-booking expected in 11,300-11,350 range.

India Volatility Index (VIX) 1% down at 24.43.

For Existing Long Positions: 

Nifty intraday stop loss is 11,100 and closing stop loss is 11,000.

BankNifty intraday stop loss is 22,600 and closing stop loss is 22,400

For Existing Short Positions:

Nifty intraday and closing stop loss are 11,200.

BankNifty intraday and closing stop loss are 23,000.

For New Positions:

Buy Nifty with a stop loss of 11,100 and target 11,200, 11,250, 11,300, 11,350. 

Sell Nifty in 11,300-11,400 range with a stop loss of 11,500 and target 11,250, 11,200, 11,175. 

Buy Bank Nifty with a stop loss of 22,500 and target 22,900, 23,000, 23,075, 23,200, 23,300, 23,400. 

Sell Bank Nifty in 23,300-23,450 range with a stop loss of 23,550 and target 23,100, 23,000, 22,900, 22,800.

10 Stocks In F&O Ban:

New In Ban: Escorts, JSPL

Already in Ban:  Century Textiles, Sun TV, L&T Finance, NALCO, Glenmark, BHEL, Adani Enterprises, M&M Finance

Out of Ban: Canara Bank, Vodafone Idea

Result Analysis:

Buy HUL Futures: Stop loss 2,300 and target 2,360, 2,375, 2,390. Results better than expected.

Axis Bank Futures: Support Zone 420-425. Profit booking zone is 480-490. Results look strong but profit booking expected.