Anil Singhvi's Market Strategy July 31: Market set to be Positive; Indigo is the stock of the day

Indian markets closed with a gain after opening strong on Monday defying weak global cues. BSE Sensex closed 157.55 points or 0.42 per cent high to close at 37494.40 and the Nifty 50 went up by 41.20 points or 0.37 per cent to end up by 11,319.55. 

However, positive sentiments, neutral global, future and options (F&O), foreign institutional investors (FII), domestic institutional investors (DIIs), suggest that the domestic market trend is going to be positive on Tuesday, July 31, 2018. 

Zee Business's Managing Editor Anil Singhvi's Market Strategy for July 31: 
11,300 and 27,800 are going to be the deciding level on Nifty and BankNifty. 

Small trade range on Nifty is going to be between 11,250 -11,350, while 11,200-11,400 will be the bigger trade range.

In the case of BankNifty, the small trade range stands at 27,600-27,950 while 27,500-28,000 will be the bigger range for trading.

11,250 and 27,600 should be considered as the first signal of fall on Nifty and BankNifty. 

Important support zone on Nifty and BankNifty lies at 11,175-11,200 and 27,400-27,500 respectively.

Anil Singhvi suggests that traders should reduce their buying positions on Nifty and BankNifty if they close below the mark of 11,200 and 27,500 respectively. However, the traders should end their positions if Nifty and BankNifty close below the mark of 11,125 and 27,400.

Buy and Sell strategy on Nifty 
Buy Nifty near 11250 with a stop loss of 11,200 and a target of 11,300-11,350-11,400.  

Sell Nifty near 11400 with a stop loss of 11,425 and a target of 11,350-11,325. 

Buy and Sell strategy on BankNifty 
Buy BankNifty near 27600 with a stop loss of 27,400 with a target of 27,800-27,950. 

Sell BankNifty near 28000 with a stop loss of 28,050 and a target of 27,800.

The put-call ratio (PCR) for July 31 stands at 1.72 and the volatility index (VIX) is 12.58.

No stock in F&O Ban today

Watch this Zee Business video here:

Result Analysis:
Axis Bank: Strong results, stock to go up to 580-585

Tech Mahindra: Neutral to negative results, the stock already ran, book profit if it opens up

Idea: Bad, Profits due to one-time gains, expect 3-4% fall

Stock of the Day: Sell Indigo with a target of 940-910 with a stop loss of 1010

Poor margins, Operational weakness, Worst ever results