Anil Singhvi Market Strategy May 8: 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 22,150-22,225 levels and a stronger support zone at 22,000-22,075 levels on Wednesday, May 8.

For the Nifty Bank, he expects support to come in at 47,900-48,025 levels followed by a stronger support zone at 47,675-47,825 levels.

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

• Global: Positive

• FII: Negative

• DII: Positive 

• F&O: Neutral

• Sentiment: Neutral

• Trend: Positive

He expects a higher zone for the headline index at 22,350-22,450 levels and a strong sell zone at 22,475-22,575 levels.

For the banking index, he expects a higher zone at 48,475-48,625 levels and a strong sell zone at 48,775-48,900 levels.

Lok Sabha election: What to make of Phase 3 polling?

• Voter turnout at 64.4 per cent as of 11:40 pm Tuesday
• These seats had recorded 67 per cent turnout in 2019 election
• Final voting percentage expected to increase slightly 
• Phase 3 voter turnout still better than earlier two phases 
• No need to panic
• BJP strongholds such as UP, Bihar, Gujarat and Maharashtra register lower turnout

Editor's take

• Dow Jones continues to rise for 5 sessions in a row
• Huge FII outflows creating pressure on Dalal Street
• Sentiment weak after 5 straight days of losses in Nifty Bank
• Banking index looks oversold ahead of weekly expiry today; put-call ratio (PCR) at 0.56
• Traders should adopt a wait-and-watch approach with lighter positions
• One may buy good quality stocks in the cash segment

ANIL SINGHVI MARKET STRATEGY  

• FII index longs at 42 per cent vs 45 per cent the previous day

• Nifty put-call ratio (PCR) at 0.78 vs 0.85

• Nifty Bank PCR at 0.56 vs 0.66

• Volatility index India VIX up two per cent at 16.88

For existing long positions:

• Nifty intraday stop loss at 22,200 and closing stop loss at 22,300

• Nifty Bank intraday stop loss at 48,000 and closing stop loss at 48,200

For existing short positions:

• Nifty intraday and closing stop loss at 22,500
• Nifty Bank intraday stop loss at 48,675 and closing stop loss at 49,000

For new positions in Nifty:

• Aggressive traders can sell Nifty in the 22,400-22,500 range with a strict stop loss at 22,600 for targets of 22,350, 22,300, 22,275, 22,235, 22,175 and 22,150

• Aggressive traders can buy Nifty in the 22,075-22,175 range with a strict stop loss at 22,000 for targets of 22,225, 22,300, 22,350, 22,400 and 22,450

For new positions in Nifty Bank:

• Aggressive traders can sell Nifty Bank in the 48,650-48,800 range with a strict stop loss at 49,000 for targets of 48,500, 48,300, 48,225, 48,150, 48,025 and 47,900

• Aggressive traders can buy Nifty Bank in the 47,825-48,025 range with a strict stop loss at 47,650 for targets of 48,200, 48,275, 48,425, 48,475 and 48,625

F&O ban update

• New in ban: Zee Entertainment Enterprises, PNB
• Already in ban: SAIL, Balrampur Chini, GMR Airports, AB Fashion, Vodafone Idea, Biocon
• Out of ban: None

Results reviews

Dr Reddy's Labs

Sell Dr Reddy's futures with a stop loss at Rs 6,350 for targets of Rs 6,025, Rs 5,980, Rs 5,900 and Rs 5,800

• Results much below estimates
• Decline in US sales due to price reduction
• ADR down 4.75 per cent
• No big launches expected in the near term

UBL 

Sell UBL futures with a stop loss at Rs 2,000 for targets of Rs 1,955, Rs 1,920, Rs 1,900 and Rs 1,875

• Overall volume growth and premium portfolio growth positive
• Disappointment on the margin front
• Valuations very expensive
• Conference call at 3:30 pm 
• Stock up 11 per cent in three months

Chambal Fertilisers & Chemicals 

Chambal Fertilisers & Chemicals futures have support at Rs 378 and expected to reach a higher level of Rs 410

• Good numbers
• Operational performance stable 
• Stock down nine per cent in a weak
• Buy at lower levels

Stocks of the Day

Sell Voltas futures with a stop loss at Rs 1,400 for targets of Rs 1,350, Rs 1,325 and Rs 1,300

• Operational performance very weak 
• Big decline in margins
• Concall at 3:30 pm 
• Stock up 34 per cent in three months

Buy Navin Fluorine futures with a stop loss at Rs 3,350 for targets of Rs 3,430, Rs 3,480 and Rs 3,550

• Results better than estimates
• Early signs of improvement
• Management expects recovery in H2FY25

Buy Jindal Saw with a stop loss at Rs 555 for targets of Rs 585, Rs 595 and Rs 610

• Results strong 
• Margin improved to 17 per cent from 11.5 per cent
• EBITDA up 53 per cent
• PAT up 41 per cent
• Order book strong 

Buy CreditAccess Gramin shares with a stop loss at Rs 1,388 for targets of Rs 1,450 and Rs 1,465

• Solid performance
• Strong asset quality
• Improvement in NIMs
• Robust growth

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