Don't worry about FII selling spree, buying opportunities will come, says Anil Singhvi

Zee Business Managing Editor Anil Singhvi said that FIIs have reduced their long positions from 78% on the first day to 53%. This has happened in 2 trading sessions. FII’s generally start reducing their positions once they are near 80% and start buying once they are near 50%. Singhvi says that FIIs selling will subside and their buying will start. He said that market participants should not worry.

Singhvi said that market participants should buy in the range of 14200-14400 on Nifty. FII’s are net long 53% on Index Futures, indicating they are not going to sell further from here on. It is difficult to time when the FII’s selling will come today, it at all it comes. FII’s did heavy selling in past few sessions and this won’t continue as they can’t reduce the positions below a certain level.  

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Singhvi said that the Put / Call ratio is near 1.07 levels today, it was at same levels yesterday as well. Markets are near oversold levels, so the risk reward is not favourable if one decides to sell here. Singhvi said that was the key reason why markets recovered after a weak opening yesterday. 

Singhvi said that market participants should wait today after opening, if markets go up then one can sell at higher levels and if they go down then one can see buying after a gap down.

FIIs के आंकड़ों से घबराएं नहीं...

अनिल सिंघवी- जल्द रुकेगी FIIs की बिकवाली और शुरू होगी खरीदारी... जितना गैप से खुले उतनी तेजी से आएगी रिकवरी और खरीदारी के मौके भी मिलेंगे#EditorsTake #FII #StockMarket @AnilSinghvi_ pic.twitter.com/vWjm8N6th1

— Zee Business (@ZeeBusiness) May 4, 2021

Singhvi said that participants should not worry about FII selling. They have done selling of Rs 6000 cr. Singhvi said Global markets are strong and Corona numbers are positive, markets are oversold, markets are lights, all indicate markets will see recovery.

Singhvi said that if markets open weak we may see good buying at lower levels. FIIs data is comfortable, says Singhvi.