Anil Singhvi’s Strategy December 16: Day support zone on Nifty is 17,200-17,225 & Bank Nifty is 36,525-36,625

Amid positive global markets domestic institutional investors (DIIs), future & options (F&O), negative foreign institutional investors (FIIs) and neutral sentiment cues, the short-term trend of the Indian stock markets will be negative on Thursday, December 16, 2021. 

Domestic benchmark extended losses for the fourth trading session on Wednesday, December 15, 2021. The Nifty managed to close above the 17,200 mark after slipping below that level in intraday trade. Barring the Nifty Auto index, all the sectoral indices ended in red.

The S&P BSE Sensex dropped 329.06 points, or 0.57 per cent, to end at 57,788.03. The NSE Nifty 50 lost 103.50 points, or 0.60 per cent, to close at 17,221.40. The Bank Nifty also declined 104.40 points, or 0.28 per cent, to 36,789.55.

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In the broader markets at the BSE, the S&P BSE MidCap fell 0.59 per cent and S&P BSE SmallCap lost 0.35 per cent.

Zee Business’s Managing Editor Anil Singhvi’s Market Strategy for December 16:

Day support zone on Nifty is 17,200-17,225, below that 17,075-17,175 is a strong Buy zone.

Day higher zone on Nifty is 17,325-17,375, above that 17,425-17,475 is a strong Sell zone.

Day support zone on Bank Nifty is 36,525-36,625, below that 36,200-36,375 is a strong Buy zone.

Day higher zone on Bank Nifty is 37,050-37,150, above that 37,275-37,375 is a strong Sell zone.

The small day range for trading on Nifty is 17,225-17,325, while the medium and bigger day ranges are 17,175-17,375 and 17,150-17,425, respectively.

The small day range for trading on Bank Nifty is 36,625-37,050, while the medium and bigger day ranges are 36,525-37,150 and 36,375-37,275, respectively.

FIIs long position is much lighter at 56% Vs 57%.

PCR oversold at 0.79 Vs 0.84, short-covering expected.

India VIX up by 1.5% at 17.22.

For Existing Long Positions:

Nifty Intraday and Closing stop loss are 17,150.

Bank Nifty Intraday and Closing stop loss are 36,500.

For Existing Short Positions:

Nifty Intraday and Closing stop loss are 17,425.

Bank Nifty Intraday stop loss is 37,150 and Closing stop loss is 37,300.

For New Positions:

Buy Nifty with a stop loss of 17,150 and target 17,300, 17,325, 17,375, 17,400, 17,425.

Sell Nifty in 17,375-17,475 range with a stop loss of 17,550 and target 17,325, 17,300, 17,225, 17,200.

Aggressive Traders Sell Nifty on Gap-up Opening with a Strict stop loss of 17,425 and target 17,225, 17,200, 17,175, 17,150.

For New Positions:

Buy Bank Nifty in 36,525-36,625 range with a stop loss of 36,350 and target 36,800, 36,900, 37,050.

Aggressive Traders Buy Bank Nifty with a strict stop loss of 36,700 and target 36,900, 37,050, 37,100, 37,275, 37,375, 37,450.

Sell Bank Nifty in 37,275-37,375 range with a stop loss of 37,600 and target 37,150, 37,050, 36,900, 36,825.

Aggressive Traders Sell Bank Nifty in 37,050-37,150 range with a strict stop loss of 37,300 and target 36,900, 36,825, 36,750, 36,625, 36,525.

F&O Ban Update:

Already In Ban: Vodafone Idea, Escorts, Indiabulls Housing Finance

New In Ban: Nil

Out Of Ban: Nil

PICK OF THE YEAR: Buy Indiabulls Finance Cash

Stop loss 225 and target 400, 600 for 1 year.

Target 800-1000 for 3 to 5 years

For Day Traders Stop loss is 260 and target 290, 305

Attractive Valuations

Lower borrowing cost

Higher Earnings

PE multiple expansion

Re-rating due to change of management

Supriya LifeScience IPO Preview: APPLY FOR BIG LISTING GAIN AND LONG TERM

Positives:

Strong Promoters background

Impressive financial track record

Attractive Valuations

Negatives:

Small size company