Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support to emerge at 23,875-23,975 levels and a strong buy zone at 23,750-23,825 levels for the headline Nifty50 index on Monday, January 6. For the Nifty Bank, he expects support at 50,725-50,875 levels and a stronger support zone at 50,475-50,600 levels. 

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

  • Global: Positive
  • FII: Negative
  • DII: Neutral
  • F&O: Neutral
  • Sentiment: Neutral
  • Trend: Neutral
  • FII long positions at 17 per cent vs 20 per cent before the previous session
  • Nifty put-call ratio (PCR) at 0.86 vs 1.22
  • Nifty Bank PCR at 0.83 vs 1.02
  • Volatility index India VIX down 1.5 per cent at 13.54

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The market wizard sees a higher zone at 24,075-24,150 levels and a profit-booking zone at 24,200-24,300 levels for the headline index.  

For the banking index, he sees a higher zone at 51,250-51,400 levels and a strong sell zone at 51,575-51,750 levels.

Important levels & other things to watch out for

  • Strong support at 23,650-23,825 for Nifty and 50,500-50,700 for Nifty Bank
  • Mild resistance at 24,150-24,225 for Nifty and 51,665-51,975 for Nifty Bank 
  • Buying to gather steam after Nifty and Nifty Bank close above 24,225 and 52,000 respectively 
  • HDFC Bank quarterly update fair
  • Mixed signals from other banks and NBFCs
  • FMCG quarterly updates muted

ANIL SINGHVI MARKET STRATEGY

For existing long positions:

  • Nifty intraday stop loss at 23,925 and closing stop loss at 23,750
  • Nifty Bank intraday stop loss at 50,850 and closing stop loss at 50,750 

For existing short positions:

  • Nifty intraday and closing stop loss at 24,250
  • Nifty Bank intraday stop loss at 51,325 and closing stop loss at 51,700

For new positions in Nifty50:

  • The best range to buy Nifty is 23,825-23,925 with a stop loss at 23,725 for targets of 23,975, 24,000, 24,065, 24,150, 24,200 and 24,225
  • Aggressive traders can buy Nifty with a strict stop loss at 23,925 for targets of 24,150, 24,200, 24,225, 24,275, 24,300 and 24,335
  • Aggressive traders can sell Nifty in the 24,150-24,225 range with a strict stop loss at 24,335 for targets of 24,075, 24,000, 23,975, 23,875, 23,825 and 23,800

For new positions in Nifty Bank:

  • The best range to buy Nifty Bank is 50,600-50,750 with stop loss at 50,475 for targets of 50,875, 50,950, 51,000, 51,075, 51,125 and 51,175
  • Aggressive traders can buy Nifty Bank with a strict stop loss at 50,850 for targets of 51,125, 51,225, 51,300, 51,400, 51,575, 51,675 and 51,750
  • The best range to sell Nifty Bank is 51,575-51,725 with a stop loss at 51,800 for targets of 51,575, 51,425, 51,325, 51,250, 51,175 and 50,075

Stocks in F&O ban ​

  • Already in ban: RBL Bank, Manappuram Finance
  • New in ban: None
  • Out of ban: None

Stocks of the Day

HDFC Bank

  • Futures have support at Rs 1,715; higher levels are expected at Rs 1,785 and Rs 1,800
  • Quarterly update neutral to positive
  • Deposit growth very impressive, at around 16 per cent 
  • There is a slowdown in loan growth

Sell Kotak Bank futures with a stop loss at Rs 1,870 for targets of Rs 1,825, Rs 1,800 and Rs 1,786

  • Milind Nagur has resigned as COO 

Sell Dabur futures with a stop loss at Rs 534 for targets of Rs 517 and Rs 510

  • Weak quarterly update
  • Operating margin flat
  • Low single-digit revenue growth  

Buy AU Small Finance Bank futures with a stop loss at Rs 560 for targets of Rs 580 and Rs 590

  • Good quarterly update

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