Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support for the headline Nifty50 index emerging at 21,900-21,975 levels and a strong buy zone at 21,825-21,875 levels on Monday, February 19.

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For the Nifty Bank, he expects support to come in at 46,050-46,200 levels and a strong support zone at 45,825-45,975 levels.

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

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

The market wizard expects a higher zone for the Nifty50 coming in at 22,075-22,125 levels and a "blue-sky zone" above 22,150. 

For the banking index, he expects a higher zone at 46,575-46,675 and a profit-booking zone at 46,750-46,900 levels. 

ANIL SINGHVI MARKET STRATEGY 

The market wizard points out that the Nifty50 looks ready to register a fresh lifetime high, amid strong buying by FIIs and DIIs and mixed global signals. He expects a fresh breakout in the index once it stabilises abore the 22,150 mark, and highlights that Monday's session is likely to be a make-or-break day for the banking index wherein analysts will decide if HDFC Bank has made a bottom yet. 

Singhvi expects significant action in the cash market with major support for the Nifty and the Nifty Bank at 21,850-21,950 and 45,500-45,700 levels, respectively. 

  • FII index longs at 38 per cent vs 36 per cent the previous day
  • Nifty put-call ratio (PCR) at 1.22 vs 1.20
  • Nifty Bank PCR at 1.12 vs 1.13
  • Volatility index India VIX unchanged at 15.22

For existing long positions:

  • Nifty intraday and closing stop loss at 21,900
  • Nifty Bank intraday stop loss at 45,900 and closing stop loss at 45,500

For existing short positions:

  • Nifty intraday and closing stop loss at 22,150
  • Nifty Bank intraday stop loss at 46,700 and closing stop loss at 46,500

For new positions in Nifty:

  • Buy Nifty with a stop loss at 21,900 for targets of 22,075, 22,100 and 22,125; above 22,150, one may hold the long position with a trailing stop loss
  • Sell Nifty only if it breaks below 21,900

For new positions in Nifty Bank:

  • The best range to buy Nifty Bank is 46,050-46,200 with a stop loss at 45,800 for targets of 46,275, 46,400, 46,475, 46,575, 46,675, 46,750 and 46,850
  • Aggressive traders can sell Nifty Bank in the 46,750-46,900 range with a strict stop loss at 47,100 for targets of 46,700, 46,575, 46,500, 46,400, 46,275 and 46,225

What will be different in the Nifty50's imminent fresh high?

The index has made a double-top formation at 22,125 and a close above 22,150 may lead to strong buying interest, the market guru points out. The index is unlikely to "touch and go" this time, he adds. 

The market has witnessed strong buying since the 21,137 bottom, led by strong investors and leading stocks, he says. 

Singhvi sees the possibility of a pre-election rally at the new high. 

F&O ban update

  • New in ban: NALCO
  • Out of ban: Biocon
  • Already in ban: Canara Bank, Hindustan Copper, Bandhan Bank, AB Fashion, Zee Entertainment Enterprises, Balrampur Chini, Delta Corp, SAIL, Ashok Leyland, India Cements, Indus Towers

Stocks of the day

Buy Jana Small Finance Bank shares with a stop loss at Rs 390 for targets of Rs 435, Rs 445 and Rs 460

  • Can double in 2-3 years
  • Do SIP on every 10 per cent fall

Buy LIC shares with a stop loss at Rs 1,020 for targets of Rs 1,055, Rs 1,065 and Rs 1,080

  • Medium-term target at Rs 1,180
  • Long-term target at Rs 1,500
  • Valuations attractive 
  • Bullish stock markets to improve its investment value
  • LIC gets a big Rs 21,740 crore income tax refund

Buy Quess Corp shares with a stop loss at Rs 488 for targets of Rs 512, Rs 518 and Rs 525

  • Company announced demerger into three different companies
  • Demerger to unlock value for shareholders

Catch the latest stock market updates here. For all other news related to business, politics, tech and auto, visit Zeebiz.com.