Anil Singhvi’s Strategy October 20: Day support range on Nifty is 11,750-11,825 & Bank Nifty is 23,725-23,775

Amid negative global markets, domestic institutional investors (DIIs), positive foreign institutional investors (FIIs), sentiment and neutral futures & options (F&O) cues, the short-term trend of the Indian stock markets will be positive on Tuesday, October 20, 2020. 

Domestic stocks markets witnessed a sharp rally on Monday, October 19, 2020, on the back of positive global cues, and strong move in the banking and financial stocks. The S&P BSE Sensex closed 448.62 points, or 1.12 per cent, up at 40,431.60. The benchmark Index Nifty 50 gained 110.60 points, or 0.94 per cent, to close at 11,873.05. Advances outnumbered declines by almost 2:1. Similarly, Bank Nifty rose 733.50 points, or 3.12 per cent, to 24,266.75. 

On the other hand, the broader market at BSE also added but underperformed the Sensex. The BSE Mid-Cap index gained 0.58 per cent and the BSE Small-Cap index appreciated 0.43 per cent.

Zee Business’s Managing Editor Anil Singhvi’s Market Strategy for October 20:

Day support range on Nifty is 11,750-11,825 and the day higher range is 11,925-11,975.

Day support range on Bank Nifty is 23,725-23,875 and the day higher range is 24,450-24,600.

The small day range for trading on Nifty is 11,825-11,925, while the medium and bigger day ranges are 11,775-11,975 and 11,675-12,025, respectively. 

The small day range for trading on Bank Nifty is 24,050-24,300, while medium and bigger day ranges are 23,875-24,450 and 23,725-24,525, respectively. 

FIIs Net Index long at 67% Vs 66%.

Put-Call Ratio (PCR) is 1.35 Vs 1.31, India Volatility Index (VIX) 1% up at 21.82. 

For Existing Long Positions:

Nifty intraday and closing stop loss are 11,750.

Bank Nifty intraday stop loss is 24,000 and closing stop loss is 23,850.

For Existing Short Positions:

Nifty intraday stop loss is 11,925 and closing stop loss is 12,000.

Bank Nifty intraday and closing stop loss are 24,325.

For New Positions:

Buy Nifty in 11,750-11,825 range with a stop loss of 11,675 and target 11,875, 11,900, 11,925, 11,975.

Sell Nifty in 11,935-11,975 range with a stop loss of 12,050 and target 11,900, 11,875, 11,825.

Buy Bank Nifty in 23,750-23,875 range with a stop loss of 23,650 and target 23,950, 24,075, 24,175, 24,300, 24,450.

Sell Bank Nifty in 24,400-24,550 range with a stop loss of 24,600 and target 24,325, 24,200, 24,075.

2 Stocks Enter F&O Ban: Nalco, Mindtree

Out of Ban: Adani Enterprises.           

10 Already in Ban: 

Idea, BHEL, Tata Motors, JSPL, Canara Bank, SAIL, Escorts, IB Housing, PNB, PVR

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