Anil Singhvi Market Strategy July 5: Important levels to track in Nifty50, Nifty Bank today

Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support for the headline Nifty50 index to emerge at 24,125-24,200 levels and a strong buy zone at 24,000-24,075 levels on Friday, July 5. For the Nifty Bank, he expects support to come in at 52,500-52,650 levels and a stronger support zone at 52,175-52,375 levels.

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

• Global: Neutral

• FII: Positive

• DII: Negative

• F&O: Neutral

• Sentiment: Positive

• Trend: Positive

• FII long positions unchanged at 84 per cent as the previous day

• Nifty put-call ratio (PCR) at 1.27 vs 1.24

• Nifty Bank PCR at 1.12 vs 1.15

• Volatility index India VIX down 2.5 per cent at 12.86

He sees a higher zone for the headline index at 24,300-24,400 levels and a "blue-sky zone" above 24,425. 

For the banking index, he expects a higher zone at 53,175-53,350 levels and a blue-sky zone above 53,400.

High alert in banks

• HDFC Bank quarterly update weak
• Slowing deposit growth a big problem
• Deposits at commercial banks have shrunken by Rs 3.5 lakh crore in 2.5 months
• Term deposit more expensive for banks
• Watch out for Q1 deposit growth data in quarterly updates
• Net interest margins (NIMs) to be most important
• Avoid fresh buying in banking stocks, especially private bank stocks 
• Book some profits in stocks of banks with good profitability

What to do with HDFC Bank shares?

• Investors who have purchased the stock two quarters ago can book profits
• Investors with a 6-12-month perspective can book profits
• Investors with a view of 1-3 years can hold on to their positions

EDITOR’S TAKE 

• Global signals mixed
• Strong net buying by FIIs but DII outflow pressure worsening
• Weak quarterly update by HDFC Bank
• Banking stocks to remain under pressure
• Nifty Bank to put pressure on Nifty50
• Wait for either a fresh high or significant support for new buying
• Defensive stocks expected to see buying interest
• IT, pharma, FMCG stocks to stay strong

ANIL SINGHVI MARKET STRATEGY   ​

For existing long positions:

• Nifty intraday stop loss at 24,150 and closing stop loss at 24,000

• Nifty Bank intraday and closing stop loss at 52,800

For existing short positions:

• Nifty intraday stop loss at 24,425 and closing stop loss at 24,325

• Nifty Bank intraday stop loss at 53,400 and closing stop loss at 53,125

For new positions in Nifty50: 

• The best range to buy Nifty is 24,050-24,200 with a stop loss at 23,950 for targets of 24,235, 24,275, 24,300 and 24,375

• Aggressive traders can sell Nifty with a strict stop loss at 24,425 for targets of 24,235, 24,200, 24,150, 24,125, 24,050 and 24,000

For new positions in Nifty Bank: 

• Sell Nifty Bank with a stop loss at 53,400 for targets of 52,800, 52,750, 52,650, 52,600, 52,500, 52,375, 52,250 and 52,175

• Buy Nifty Bank in the 52,000-52,250 range with a stop loss at 51,900 for targets of 52,375, 52,475, 52,600, 52,650, 52,750 and 52,800

• Aggressive traders can buy Nifty Bank in the 52,375-52,500 range with a strict stop loss at 52,150 for targets of 52,600, 52,650, 52,750, 52,800, 52,875 and 52,975

Stocks in F&O ban

• New in ban: Bandhan Bank, Piramal Enterprises, AB Fashion
• Already in ban: Hindustan Copper, India Cements
• Out of ban: None

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