Anil Singhvi’s Strategy November 6: Day support range on Nifty is 11,975-12,025 & Bank Nifty is 25,800-26,000

Amid positive global markets, foreign institutional investors (FIIs), sentiment, negative domestic institutional investors (DIIs) and cautious futures & options (F&O) cues, the short-term trend of the Indian stock markets will be positive on Friday, November 6, 2020. 

Amidst mix global cues in the middle of US election results, the Indian equity markets witnessed a steady increase on Thursday, November 5, 2020. The Sensex at the Bombay Stock Exchange, ended at 41,340 to close at 724 points higher. The Nifty of the National stock exchange ended above the crucial 12,000 level at 12,120 with an increase of 212 points, or 1.78 per cent. The Bank Nifty went up 541.50 points or 2.1 per cent to close at 26,313.10.

With today's rally, the S&P BSE Sensex erased all its 2020 losses and turned positive for the year. On a year-to-date (YTD) basis, the index is now up 0.2 per cent while NSE's Nifty is still down 0.4 per cent from its December 31, 2019 level of 12,168.45.

The broader market rallied in-line with the frontline indices. The BSE MidCap index ended 263 points, or 1.74 per cent higher at 15,349 points while the BSE SmallCap index closed the session at 15,136, up 253 points, or 1.7 per cent.

Zee Business’s Managing Editor Anil Singhvi’s Market Strategy for November 6: 

Day support range on Nifty is 11,975-12,025, below that 11,875-11,925 is Strong Buy zone.

Day higher range on Nifty is 12,175-12,250.

Day support range on Bank Nifty is 25,800-26,000, below that 25,550-25,700 is Strong Buy zone. 

Day higher range on Bank Nifty is 26,475-26,650, above that 26,800-27,075 is Profit Booking zone.

Small day range for trading on Nifty is 12,025-12,175, while the medium and medium day ranges are 11,975-12,225 and 11,900-12,250, respectively. 

Small day range for trading on Bank Nifty is 26,000-26,475, while the medium and medium day ranges are 25,800-26,675 and 25,650-26,800, respectively. 

Big increase in FIIs Net Index long to 65% Vs 48%.

Put-Call Ratio (PCR) at 1.67 Vs 1.54, Alert at higher levels.

Big fall in India VIX by 10% at 20.97.

For Existing Long Positions:

Nifty Intraday stop loss is 11,975 and closing stop loss is 11,900.

Bank Nifty Intraday and closing stop loss are 26,000.

For Existing Short Positions:

Nifty Intraday stop loss is 12,150 and closing stop loss is 12,225.

Bank Nifty Intraday and closing stop loss are 26,550.

For New Positions:

Buy Nifty in 11,975-12,025 range with a stop loss of 11,900 and target 12,075, 12,125, 12,175, 12,225, 12,250. 

Sell Nifty in 12,175-12,250 range with a stop loss of 12,300 and target 12,125, 12,075, 12,025.

For New Positions:

Buy Bank Nifty in 25,700-25,800 range with a stop loss of 25,650 and target 26,000, 26,250, 26,350, 26,475.

Aggressive traders can buy near 26,000 with a stop loss of 25,950 and target 26,250, 26,350, 26,475, 26,675, 26,800.

Sell Bank Nifty in 26,675-26,800 range with a stop loss of 26,900 and target 26,550, 26,475, 26,350, 26,250. 

Enters F&O Ban: SAIL             

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Buy Reliance Cash: Stop loss 1945 and target 1980, 1990. PIF invest 9555 crore in Reliance retail. Short covering expected.