Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support for the headline Nifty50 index to emerge at 23,075-23,175 levels and a strong buy zone at 22,925-23,025 levels on Tuesday, June 11.

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For the Nifty Bank, he expects support to come in at 49,500-49,625 levels and a strong buy zone at 49,275-49,400 levels.

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

  • Global: Positive
  • FII: Positive
  • DII: Positive
  • F&O: Neutral
  • Sentiment: Positive
  • Trend: Positive
  • FII long positions at 34 per cent vs 30 per cent the previous day
  • Nifty put-call ratio (PCR) at 0.97 vs 1.15
  • Nifty Bank PCR at 0.74 vs 0.80
  • India VIX down three per cent at 16.40

He sees a higher zone for the headline index coming in at 23,325-23,350 levels and a "blue-sky zone" above 23,350 with the next target near 23,500.

For the banking index, he expects a higher zone at 49,950-50,075 levels and a profit-booking zone at 50,500-50,675 levels.

Names of Cabinet ministers and their departments announced; how will it impact the market?

  • List of ministers a sign of the government's strength
  • No change in the portfolios of ministers holding major departments 
  • Alliance leaders could not bargain
  • Signs of continuity in previous government's policies
  • Hopes of strong buying interest in PSUs
  • Development positive for defence, railway, IT, banking sectors

EDITOR’S TAKE 

  • Depaartment allocation very positive for Dalal Strete
  • Strong buying by FIIs and DIIs
  • Global markets strong
  • Record inflows into mutual funds in May
  • Market technically very strong at life highs
  • ‘Buy on dips’ strategy advisable
  • Rapid buying action expected in midcap & smallcap shares
  • Strong support zone for Nifty50 at 22,800-23,000, for Nifty Bank at 49,075-49,500 

ANIL SINGHVI MARKET STRATEGY   ​

For existing long positions:

  • Nifty intraday stop loss at 23,150 and closing stop loss at 23,000
  • Nifty Bank intraday stop loss at 49,500 and closing stop loss at 49,275

For existing short positions:

  • Nifty intraday stop loss at 23,425 and closing stop loss at 23,300
  • Nifty Bank intraday stop loss at 50,300 and closing stop loss at 50,000

For new positions in Nifty50: 

  • The best range to buy Nifty is 23,075-23,175 with a stop loss at 22,950 for targets of 23,225, 23,250, 23,300, 23,325 and 23,400; one may hold their positions above 23,425 with a trailing stop loss
  • Aggressive traders can sell Nifty in the 23,325-23,400 range with a strict stop loss at 23,500 for targets of 23,250, 23,225, 23,175, 23,125, 23,075 and 23,025

For new positions in Nifty Bank: 

  • The best range to buy Nifty Bank is 49,300-49,500 with a stop loss at 49,000 for targets of 49,625, 49,675, 49,775, 49,950, 50,075 and 50,250
  • The best range to sell Nifty Bank is 50,075-50,250 with a stop loss at 50,500 for targets of 50,000, 49,950, 49,800, 49,675, 49,625 and 49,525

F&O ban update 

  • New in ban: India Cements
  • Already in ban: Balrampur Chini, SAIL, Zee Entertainment Enterprises 
  • Out of ban: None

Stocks of the Day

Buy ONGC futures with a stop loss at Rs 255 for targets of Rs 263 and Rs 268

  • Stock trading at attractive valuations, down almost 10 per cent from recent highs
  • Jefferies has maintained 'buy' rating with Rs 390 target 

Buy BEL futures with a stop loss at Rs 280 for targets of Rs 288, Rs 292 and Rs 298

  • The return of Rajnath Singh as Defence Minister is positive for the sector

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