Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support for the headline Nifty50 index to emerge at 24,700-24,775 levels and a strong buy zone at 24,600-24,700 levels on Friday, August 23. For the Nifty Bank, he expects support to come in at 50,725-50,800 levels and a stronger support zone at 50,400-50,600 levels.

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He sees a higher zone for the headline index coming in at 24,850-24,900 levels and a strong sell zone at 24,950-25,000 levels. For the Nifty Bank, he expects a higher zone at 51,075-51,175 levels and a profit-booking zone at 51,250-51,350 levels.

Here's how Anil Singhvi sums up the market setup:

  • Global: Negative
  • FII: Neutral
  • DII: Positive
  • F&O: Neutral
  • Sentiment: Positive
  • Trend: Positive
  • FII long positions flat at 52 per cent as the previous day
  • Nifty put-call ratio (PCR) at 1.4 vs 1.24
  • Nifty Bank PCR at 0.94 vs 0.92
  • Volatility index India VIX down 2.5 per cent at 13

ANIL SINGHVI MARKET STRATEGY   

For existing long positions:

  • Nifty intraday and closing stop loss at 24,600
  • Nifty Bank intraday stop loss at 50,700 and closing stop loss at 50,350

For existing short positions:

  • Nifty intraday and closing stop loss at 24,900
  • Nifty Bank intraday and closing stop loss at 51,100

For new positions in Nifty50: 

  • The best range to buy Nifty is 24,600-24,700 with a stop loss at 24,525 for targets of 24,735, 24,775, 24,800, 24,835 and 24,865
  • Aggressive traders can sell Nifty with a strict stop loss at 24,900 for targets of 24,735, 24,700, 24,650, 24,600, 24,575 and 24,550

For new positions in Nifty Bank: 

  • The best range to buy Nifty Bank is 50,550-50,725 with a stop loss at 50,375 for targets of 50,800, 50,875, 50,975, 51,075, 51,175 and 51,250
  • Aggressive traders can sell Nifty Bank with a strict stop loss at 51,200 for targets of 50,875, 50,800, 50,725, 50,600, 50,525, 50,400 and 50,300

How important is today's Jackson Hole meeting?

  • Fed Chairman's speech will be very important
  • A big signal possible before the September policy
  • All eyes on when, how much and how fast will the reductions in key interest rates be
  • Profit-taking in US stocks following a one-way rally
  • There has been some healthy correction on Wall Street
  • No cause for concern

EDITOR’S TAKE

  • Will the upmove on Dalal Street hit a pause? The market has staged a one-way rise for six sessions in a row
  • Nifty50 has staged a 1,000-point recovery from its low of 23,900
  • While some profit booking is important, but there won't be too much downside
  • Any fall or weakness on Dalal Street will provide investment opportunities
  • Participants should wait for a good entry level
  • A change to enter the 24,600-24,700 range will be great
  • One may also book profits near 25,000
  • One can expect some resistance in Nifty Bank given its current trend of a strong day followed by a weak day and so on
  • Strong support for Nifty Bank at 50,300-50,500
  • Buying to gather steam after the index crosses 51,350 on a closing basis 

Stocks in F&O ban 

  • New in ban: Chambal Fertilisers, IEX, RBL Bank
  • Out of ban: Balrampur Chini
  • Already in ban: Birlasoft, Hindustan Copper, Piramal Enterprises, GNFC, Aarti Industries, Sun TV, Granules India, AB Fashion, LIC Housing Finance, India Cements, NALCO

Stocks of the Day

Buy Ambuja Cement futures; strong support at Rs 595-610 and a higher range at Rs 650-660 

  • A fantastic opportunity to buy at the buyback price
  • Block deal size half of the expected level
  • The stock has outperformed so far
  • It has formed a strong support zone

Buy TVS Motors futures for targets of Rs 2,740 and Rs 2,755 with a stop loss at Rs 2,670 

  • The auto maker has launched a new Jupiter two-wheeler
  • It is expected to boost volume and market share
  • UBS has raised its target for the stock to Rs 3,200 from Rs 3,000 

Buy Go Digit shares for targets of Rs 366 and Rs 370 with a stop loss at Rs 356

  • Jefferies has initiated coverage with a target of Rs 420

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