Anil Singhvi Market Strategy December 26: Important levels to track in Nifty50, Nifty Bank today

Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi shares his strategy for today's session on Dalal Street. Learn more about his views on key support and resistance levels for the Nifty and the Nifty Bank, and what he makes of the market now.

Here is what Zee Business Managing Editor Anil Singhvi makes of the market today.

Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support to emerge at 23,600-23,675 levels and a strong buy zone at 23,525-23,575 levels for the headline Nifty50 index on Thursday, December 26. For the Nifty Bank, he expects support at 50,875-51,025 levels and a strong buy zone at 50,625-50,775 levels.

Here's how the market guru sums up the trade setup this morning:

Global: Positive
FII: Negative
DII: Positive
F&O: Neutral
Sentiment: Neutral
Trend: Neutral
FII long positions at 24 per cent vs 30 per cent before the previous session
Nifty put-call rato (PCR) at 0.94 vs 0.84
Nifty Bank PCR at 0.93 vs 0.59
Volatility index India VIX down 2.5 per cent at 13.18

The market wizard sees a higher zone for the headline index at 23,800-23,870 levels and a profit-booking zone at 23,950-24,050 levels. For the banking index, he sees a higher zone at 51,400-51,575 levels and a profit-booking zone at 51,775-51,900 levels.

Is Dow's four-day winning run of any use on Dalal Street?

On Tuesday, all three main US indices opened at their bottoms
All three closed at their intraday highs, each having staged a full recovery
Two straight sessions of American indices closing at their intraday highs
Buying on Wall Street is aiding sentiment on Dalal Street

Can you expect short-covering action by FIIs on the monthly F&O expiry day?

On Tuesday, FIIs pulled out a net Rs 2,450 crore from the cash segment
Net flow across cash, stock and index futures amounted to Rs 1,500 crore; a small amount given the recent trend
Domestic funds net purchased equities to the tune of Rs 2,819 crore in the cash segment
FIIs' long positions in index futures are very low at 24 per cent
One can expect short-covering moves in futures on Thursday
There is a low possibility of significant selling by FIIs till the end of the year

Can you expect Nifty Bank to stage strong moves in the January F&O series?

Typically, the banking index stages significant moves in the January series
In eight out of the past 10 years, Nifty Bank has staged moves of 4-12 per cent during this period
Nifty Bank has logged five negative and positive series each in the 10-year period
In the last five years, there were three instances of negative January series for Nifty Bank
Nifty Bank rollovers are extremely low
Slowly, traders seem to be losing interest in Nifty Bank
In May 2021, a rollover of 65 per cent was recorded in Nifty Bank
In case of a pre-Budget rally, Nifty Bank is set to lead gains

What to do today?

One can expect big moves owing to the F&O expiry due by the end of the session
Trade with strict stop losses
Keep monitoring Nifty Bank for any market-leading moves
Buying to intensify if Nifty crosses 23,950 and Nifty Bank 51,625 on a closing basis
Buying may intensify in midcap and smallcap stocks