Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects a support zone for the headline Nifty50 index to emerge at 22,750-22,800 levels and a strong buy zone at 22,600-22,700 levels on Wednesday, May 29.

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For the Nifty Bank, he expects support to come in at 48,825-48,975 levels and a strong buy zone at 48,650-48,775 levels.

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

  • Global: Negative
  • FII: Positive
  • DII: Positive
  • F&O: Neutral
  • Sentiment: Positive
  • Trend: Positive

He sees a higher zone for the headline index coming in at 22,925-23,000 levels and a profit-booking zone at 23,025-23,100 levels.

For the banking index, he expects a higher zone at 49,275-49,475 higher zone and a profit-booking zone at 49,525-49,675 levels.

EDITOR’S TAKE

  • Slightly weak global signals
  • Strong buying by domestic funds
  • Short-covering by FIIs in index and stock futures
  • Dalal Street in a trend of sharp buying in the first half of the day and profit-booking in the last hour of trade for three straight sessions
  • Important for Nifty Bank to close above 48,750 on the day of the expiry of monthly derivatives
  • A closing above 49,000 even better
  • Banking index to scale a lifetime high once it closes above 49,500
  • Nifty to have strong support in the range of 22,400-22,600 till June 3; Nifty Bank to have strong support at 48,000-48,200
  • Strong action in the cash market amid hopes of good election results

ANIL SINGHVI MARKET STRATEGY  

  • FII index long positions at much higher levels, at 54 per cent vs 52 per cent the previous day
  • Nifty put-call ratio (PCR) at 0.94 vs 1.02
  • Nifty Bank PCR at 0.82 vs 0.98
  • Volatility index India VIX up four per cent at 24.19

For existing long positions:

  • Nifty intraday stop loss at 22,850 and closing stop loss at 22,750
  • Nifty Bank intraday stop loss at 48,950 and closing stop loss at 48,750

For existing short positions:

  • Nifty intraday stop loss at 23,125 and closing stop loss at 23,000
  • Nifty Bank intraday stop loss at 49,550 and closing stop loss at 49,425

For new positions in Nifty:

  • Aggressive traders can buy Nifty in the 22,700-22,800 range with a strict stop loss at 22,600 for targets of 22,850, 22,875, 22,900, 22,950, 22,975 and 23,000
  • Aggressive traders can sell Nifty in the 22,950-23,025 range with a strict stop loss at 23,125 for targets of 22,900, 22,875, 22,850, 22,800, 22,750 and 22,700

For new positions in Nifty Bank:

  • The best range to buy Nifty Bank is 48,650-48,775 with a stop loss at 48,500 for targets of 48,900, 48,975, 49,050, 49,150 and 49,275
  • Aggressive traders can sell Nifty Bank in the 49,475-49,675 range with a strict stop loss at 49,750 for targets of 49,275, 49,150, 49,050, 48,900, 48,775 and 48,650

F&O ban update

  • New in ban: AB Fashion
  • Out of ban: GNFC
  • Already in ban: Biocon, Vodafone Idea, Hindustan Copper, Piramal Enterprises

F&O results reviews 

AB Fashion 

  • Stock in F&O ban
  • Results above estimates
  • Demerger will unlock value
  • Rs 350 and Rs 400 targets for long-term investors  

GNFC 

  • Operationally weak numbers
  • Stock came out of F&O ban today

IRCTC 

  • Numbers in line with estimates but margin under pressure

Cash results reviews

Aster DM 

  • Stable operational performance
  • Loss due to higher tax and provisioning for closed operations

Brigade Enterprises 

  • Extraordinary strong performance
  • Stock has rallied 23 per cent in three months and 125 per cent in a year

Buy Campus Activewear shares with a stop loss at Rs 245 for targets of Rs 256 and Rs 260

  • Strong results
  • Improvement in operational performance

Prestige Estates 

  • Results better than estimates
  • Strong improvement in margins

Stock of the Day

Buy Concord Bio shares with a stop loss at Rs 1,350 for targets of Rs 1,425, Rs 1,450 and Rs 1,490

  • Strong results came on Monday but stock was down due to the block deal the next day
  • Buy call by Jefferies with a target of Rs 1,410

Buy MedPlus Health shares with a stop loss at Rs 690 for targets of Rs 718, Rs 730 and Rs 740

  • Results strong on all parameters
  • Stock hasn't performed in last one year

Buy ITD Cementation shares with a stop loss at Rs 395 for targets of Rs 410, Rs 415 and Rs 425

  • Best results ever
  • Order book strong at Rs 20,000 crore 

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