Anil Singhvi’s Strategy January 18: 14,150-14,200 & 31,725-31,800 is most strong support levels for Nifty & Bank Nifty

Amid negative global markets, domestic institutional investors (DIIs), neutral foreign institutional investors (FIIs) and sentiment and positive futures & options (F&O), cues, the short-term trend of the Indian stock markets will be positive on Monday, January 18, 2021. 

Domestic equity benchmarks declined sharply on Friday, January 15, 2021, led by broader selling pressure. Sensex and Nifty declined 1.11 per cent amid profit booking in sync with losses in global equity indices. The BSE Sensex closed 549.49 points down at 49,035.67 and the NSE Nifty 50 fell 161.92 points to close at 14,434.70. Bank Nifty fell 272.95 points or 0.84 per cent and closed at 32,246.80. 

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The broader market at BSE also fell. The BSE Mid-Cap index plunged 1.25 per cent and the BSE Small-Cap index slipped 1.06 per cent.   

Zee Business’s Managing Editor Anil Singhvi’s Market Strategy for January 18:

Most strong support levels for Nifty and Bank Nifty are 14,150-14,200 and 31,725-31,800, respectively. 

Day support level on Nifty is 14,350, below that 14,150-14,225 is strong Buy zone. 

Day higher zone on Nifty is 14,475-14,560. 

Day support zone on Bank Nifty is 31,900-32,000, below that 31,725-31,800 is strong Buy zone. 

Day higher zone on Bank Nifty is 32,500-32,575, above that 32,675-32,750 is profit-booking zone. 

The Small Day Range for trading on Nifty is 14,350-14,47, while the medium and bigger day ranges are 14,225-14,560 and 14,150-14,600, respectively. 

 The Small Day Range for trading on Bank Nifty is 32,000-32,500, while the medium and bigger day ranges 31,900-32,575 and 31,725-32,675, respectively.

FIIs decreased Index long at 67% Vs 72%.

PCR near oversold at 1.19 Vs 1.69.

VIX up by 4% at 24.01.

For Existing Long Positions:

Nifty intraday and closing stop loss are 14,350. 

Bank Nifty intraday and closing stop loss are 32,000. 

For Existing Short Positions:

Nifty intraday and closing stop loss are 14,600. 

Bank Nifty intraday and closing stop loss are 32,600. 

For New Positions:

Buy Nifty near 14,350 with a stop loss of 14,300 and target 14,425, 14,475, 14,500, 14,550. 

Sell Nifty in 14,500-14,575 range with a stop loss of 14,600 and target 14,475, 14,435, 14,400. 

For New Positions:

Buy Bank Nifty in 31,900-32,000 range with a stop loss of 31,700 and target 32,100, 32,250, 32,325, 32,500.  

Sell Bank Nifty in 32,500-32,575 range with a stop loss of 32,750 and target 32,350, 32,275, 32,100, 32,000. 

F&O Ban Update:

Already in Ban: BHEL

Out of Ban: Nil

New in Ban: SAIL, Idea

IRFC IPO Preview:

Positives:

Strong parentage with AAA rating.

Strong revenue and profit visibility.

Valuations are reasonable.

Strong anchor book.

Negatives:

Huge Equity size.

The government needs to reduce further 11.4% Equity.

 Must apply for Long term. Expect 12-15% Annual return, double than FD.