Anil Singhvi’s Strategy March 20: Banks, NBFC & IT sectors are Negative

Anil Singhvi’s Strategy March 20: Amid positive domestic institutional investors (DIIs), negative global markets, foreign institutional investors (FIIs), futures & options (F&O) and sentiment cues, the short-term trend of the Indian stock markets will be negative on Friday, March 20, 2020.

The market extended losses for the fourth straight session on Thursday, March 19, 2020. The benchmark indices slumped in morning trade but recovered gradually as the session progressed. The market briefly entered positive terrain in the afternoon trade. The recovery proved to be short-lived as selling emerged at higher levels. Trading was volatile throughout the day on account of the weekly expiry of index options on the NSE.

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The S&P BSE Sensex fell 581.28 points or 2.01% at 28,288.23. The index crashed 2155.05 points at the day's low of 26,714.46 in early trade. The Nifty 50 index lost 205.35 points or 2.42% at 8,263.45. It fell as much as 636.25 points at the day's low of 7,832.55. Similarly, Bank Nifty closed 496.70 points or 2.6% down at 20,083.50. In the early trade, it crashed at the day’s low of 18,675.65.

Zee Business's Managing Editor Anil Singhvi's Market Strategy for March 20:

Next Important Support Zone on Nifty is 7,800-7,900, 7,300-7,500 and Bank Nifty is 18,700-19,000, 18,000-18,200.

INVEST 20% CASH in Mutual Funds or Invest Directly at 7,200-7,500 range.

Higher range on Nifty is 8,500-8,600, 8,900-9,200 and Bank Nifty is 21,000-21,300, 22,000-22,150.

For TRADERS still Nahi Lena Hai… Nahi Lena Hai… Nahi Lena Hai…

If any Bounce back comes, ONLY EXIT...Nahi Fasna Hai… Nahi Fasna Hai… Nahi Fasna Hai…

For Investors:

Be ready for another MINIMUM one or two rounds of SELL OFFs, One due to US Markets, Second, our own Corona issues

For Existing Long Positions:

Nifty intraday and a closing stop loss of 8,000.

Bank Nifty intraday and a closing stop loss of 19,900.

For Existing Short Positions:

Nifty intraday and a closing stop loss of 8,600.

Bank Nifty intraday and a closing stop loss of 21,050.

For New Positions:

Sell Nifty: Best range to sell is 8,400-8,600 with a stop loss 8,650 and target 8,000, 7,850, 7,600, 7,500.

Sell Bank Nifty: Best range to sell is 21,000-21,300 with a stop loss 21,500 and target 19,500, 19,000, 18,700, 18,200, 18,000.

Put-Call Ratio (PCR) High 1.15, Volatility Index (VIX) up 13% to 72.20.

Sectors:

Negative: Banks, NBFC, IT

No stock in F&O Ban