Anil Singhvi strategy April 23: Important levels to track in Nifty50, Nifty Bank today

Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support emerging at 22,150-22,200 levels and a strong buy zone at 22,000-22,075 levels for the headline Nifty50 index on Tuesday, April 23.

For the Nifty Bank, he expects initial support to come in at 47,575-47,675 levels followed by a strong buy zone at 47,325-47,500 levels.

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

• Global: Positive  

• FII: Negative

• DII: Positive   

• F&O: Neutral

• Sentiment: Positive

• Trend: Positive

He expects a higher level for the headline index at 22,375-22,425 levels and a strong sell zone at 22,500-22,550 levels. 

For the banking index, Singhvi expects a higher zone at 48,150-48,250 levels and a strong sell zone at 48,425-48,575 levels. 

ANIL SINGHVI MARKET STRATEGY  

• FII index longs at 34 per cent vs 35 per cent the previous day

• Nifty put-call ratio (PCR) at 1.14 vs 1.03

• Nifty Bank PCR at 1.02 vs 0.99

• Volatility index India VIX down six per cent at 12.70

Editor's take

• Positive global signals but Monday's FII data weak
• Strong buying by domestic funds
• Market likely to move within a range
• Buy near key support levels and keep booking profits at higher levels
• Strong support for Nifty at 22,075-22,200, for Nifty Bank at 47,575-47,675 
• Market to gain momentum if indices sustain gains past Monday's highs

Has the market formed a short-term bottom?

• All bad news is largely known
• Low chances of an increase in Israel-Iran tensions
• Gold and crude oil also showing signs of bottoming out
• Fresh weakness expected once Nifty and Nifty Bank close below 21,950 and 46,900 respectively

For existing long positions:

• Nifty intraday stop loss at 22200 and closing stop loss at 22150
  Nifty Bank intraday and closing stop loss at 47500

For existing short positions:

• Nifty intraday and closing stop loss at 22,500
• Nifty Bank intraday and closing stop loss at 48,250

For new positions in Nifty:

• The best range to buy Nifty is 22,200-22,275 with a stop loss at 22,150 for targets of 22,325, 22,350, 22,375, 22,425 and 22,500

• The best range to sell Nifty is 22,425-22,525 with a stop loss at 22,600 for targets of 22,375, 22,325, 22,275, 22,250, 22,200 and 22,150

For new positions in Nifty Bank:

• The best range to buy Nifty Bank is 47,575-47,675 with a stop loss at 47,450 for targets of 47,775, 47,825, 47,925, 47,975, 48,075 and 48,150

• Aggressive traders can sell Nifty Bank in the 48,150-48,250 range with a strict stop loss at 48,325 for targets of 48,000, 47,925, 47,825, 47,725, 47,675 and 47,575

F&O ban update

• New in ban: Hindustan Copper
• Out of ban: Bandhan Bank, Balrampur Chini, Metropolis, Exide Ind
• Already in ban: Biocon, Vodafone Idea, SAIL, PEL, ZEEL

Results review

Reliance

• Results little better than expectations
• Strong performance by company's oil-to-chemicals (O2C) business
• In line performance by gas and telecom units
• Retail business performance below expectations
• Futures have support at Rs 2,925 and Rs 2,885, and higher levels at Rs 3,000 and Rs 3,030

Should you subscribe to JNK India IPO?

The market guru suggests applying for the IPO from a long-term perspective. He has identified the following key points about the market-bound company:  

Positive:

• Experienced promoters
• Market leadership with 27 per cent share
• Order book strong at Rs 845 crore
• Asset-light business model
• Low competition due to entry barrier
• Low borrowings
• Strong business outlook

Negative:

• JNK Global Korea's performance weak  
• High working capital requirements
• Business growth not very impressive so far
• Expansion into a new business line may be risky
• Valuations reasonable; neither expensive nor very cheap

Stock of the day

Buy Bharti Airtel futures with a stop loss at Rs 1,286 for targets of Rs 1,320 and Rs 1,332

• Reliance Jio numbers in line with expectations
• Strong response to Vodafone Idea FPO
• Telecom sector ready to blast

Sell M&M Finance futures with a stop loss at Rs 286 for targets of Rs 272 and Rs 266

• Results postponed due to the detection of a fraud  
• Rs 150-crore fraud detected at one of the company’s branches in the North East
• The investigations in the matter are at an advanced stage

Buy Indus Tower futures with a stop loss at Rs 343 for targets of Rs 355, Rs 359and Rs 364

• Strong response to Vodafone Idea FPO is sentimentally positive
• Big upgrade from CLSA; target raised to Rs 450 from Rs 335

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