Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support for the headline Nifty50 index to emerge at 23,675-23,800 levels and a stronger support zone at 23,500-23,625 levels on Wednesday, November 13. For the Nifty Bank, he expects support at 50,600-50,800 levels and a strong buy zone at 50,200-50,400 levels.

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

  • Global: Negative
  • FII: Negative
  • DII: Positive
  • F&O: Neutral
  • Sentiment: Negative
  • Trend: Neutral
  • FII long positions at 24 per cent vs 25 per cent before Tuesday's session
  • Nifty put-call ratio (PCR) at 0.72 vs 0.91
  • Nifty Bank PCR at 0.59 vs 0.86
  • Volatility index India VIX up 2 per cent at 14.59

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The market wizard sees a higher zone for the headline index at 24,000-24,075 levels and a profit-booking zone at 24,140-24,240 levels.

For the banking index, he sees a higher zone at 51,475-51,675 levels and a strong sell zone at 51,800-52,000 levels.

What is Wall Street signaling?

  • Dollar index at a six-month high at 106 levels 
  • Bond yields near 4.5 per cent
  • There is fear that inflation may worsen under Donald Trump administration
  • 3 major economic data sets due in the next 3 days
  • There is a possibility of some profit taking given the one-sided rally

Should market participants be concerned about Nifty50 closing below 24,000?

  • A closing below the 24,000 mark is weak from a sentimental perspective
  • Nifty50 has entered a very important support zone
  • Strong support placed at 23,500-23,800 levels
  • It is important for the index to hold 23,750 on a closing basis on Wednesday
  • Nifty50 has closed above 23,750 for around 105 trading sessions
  • 23,650 marks a 10 per cent fall from its life high
  • Strong support at 50,200-50,600 for Nifty Bank 
  • Situation may worsen only if the banking index gives up 50,450 on a closing basis

Is it a good time to invest in the market?

  • Investors should deploy an instalment of their funds in the 23,500-23,800 range
  • This investment should be restricted to 20-25 per cent of the funds available 

EDITOR'S TAKE

  • Traders should avoid taking long positions unless the market crosses Tuesday's high on a closing basis
  • Tough resistance at 24,250-24,375 for Nifty50 
  • Traders should keep trimming their stuck positions on the upside

MARKET STRATEGY

For existing long positions:

  • Nifty intraday stop loss at 23,800 and closing stop loss at 23,750
  • Nifty Bank intraday and closing stop loss at 51,000

For existing short positions:

  • Nifty intraday and closing stop loss at 24,275
  • Nifty Bank intraday and closing stop loss at 51,575

For new positions in Nifty50:

  • The best range to sell Nifty is 24,000-24,200 with a stop loss at 24,350 for targets of 23,900, 23,850, 23,800, 23,750, 23,675 and 23,625
  • Aggressive traders can buy Nifty in the 23,625-23,750 range with a strict stop loss at 23,500 for targets of 23,875, 24,000, 24,075, 24,140, 24,200 and 24,240

For new positions in Nifty Bank:

  • Aggressive traders can sell Nifty Bank in the 51,575-51,750 range with a strict stop loss at 52,000 for targets of 51,475, 51,350, 51,200, 51,150, 51,000 and 50,875
  • The best range to buy Nifty Bank is 50,375-50,575 with a stop loss at 50,200 for targets of 50,850, 51,000, 51,150, 51,225, 51,300 and 51,475

Stocks in F&O ban​

  • Already in ban: Hindustan Copper, Aarti Industries, Manappuram Finance, Granules India, AB Fashion
  • New in ban: None
  • Out of ban: None

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