Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support for the headline Nifty50 index emerging at 21,350-21,450 levels and a strong base at 21,150-21,250 levels on Thursday, January 18.

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For the Nifty Bank, he expects support to come in at 45,500-45,650 and 45,225-45,375 levels and a strong base at 44,950-45,150 levels.

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

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

Singhvi expects a higher zone for the Nifty50 at 21,600-21,675 levels and a strong sell zone at 21,725-21,850 levels. For the banking index, he expects a higher zone at 46,375-46,500 and 46,650-46,750 levels and a strong sell zone at 46,900-47,200 levels. 

ANIL SINGHVI MARKET STRATEGY 

  • FII index longs at 54 per cent vs 66 per cent the previous day
  • Nifty put-call ratio (PCR) at 0.7 vs 1.22
  • Nifty Bank PCR at 0.66 vs 0.92
  • Volatility index India VIX up 11 per cent at 15.08

The market wizard warns that pressure will persist on Dalal Street amid large FII outflows in cash as well as futures segments, amid lightly weak domestic results and the absence of support from global markets. Singhvi suggests investors stay cautious until the expiry of weekly Nifty contracts due at the end of the day. He expects a recovery to emerge after the expiry. 

He is of the view that investors should focus on the Nifty50 for buying and spread their moves in parts at important support levels. The Nifty50 and the Nifty Bank must cross the hurdles of 21,850 and 47,200 on a closing basis for market weakness to end, according to Singhvi.  

ALSO READ: Biggest one-day sell-off by FIIs in six years on Wednesday

For existing long positions:

  • Nifty intraday and closing stop loss at 21,425
  • Nifty Bank intraday and closing stop loss at 45,900

For existing short positions:

  • Nifty intraday stop loss at 21,725 and closing stop loss at 21,850
  • Nifty Bank intraday stop loss at 46,500 and closing stop loss at 47,200

For new positions in Nifty:

  • Aggressive traders can sell Nifty with a stop loss at 21,725 for targets of 21,525, 21,475, 21,450, 21,415, 21,350 and 21,300
  • The best range to buy Nifty50 is 21,250-21,350 with a stop loss at 21,150 for targets of 21,400, 21,450, 21,500, 21,550, 21,575 and 21,600 

For new positions in Nifty Bank:

  • Aggressive traders can sell Nifty Bank with a stop loss at 46,500 for targets of 45,750, 45,650, 45,500, 45,375, 45,250 and 45,150
  • The best range for aggressive traders to buy Nifty Bank is 44,950-45,150 with a stop loss at 44,775 for targets of 45,250, 45,375, 45,500, 45,650, 45,750 and 45,900

F&O ban update

  • New in ban: IEX, SAIL
  • Out of ban: Biocon, India Cements, Indus Tower, Piramal Enterprises
  • Already in ban: ABFRL, Ashok Leyland, Bandhan Bank, Chambal Fertilisers, Delta Corp, Hindustan Copper, Metropolis, NALCO, Polycab India, PVR INOX, Zee Entertainment Enterprises

Results reviews

 

ICICI Prudential

The market guru suggests selling ICICI Prudential futures with a stop loss at Rs 522 for targets of Rs 500, Rs 492 and Rs 485. 

  • Weak operational performance
  • Profit below estimates

LTIMindtree 

Singhvi has a 'sell' call on LTIMindtree futures for targets of Rs 6,200, Rs 6,180 and Rs 6,140 with a stop loss at Rs 6,350.

  • Results below estimates
  • Weakest results in the IT sector so far
  • Strong order book but difficult to maintain margins

Stocks of the day

 

Buy OFFS (Oracle Finance) futures with a stop loss at Rs 4,960 for targets of Rs 5,200 and Rs 5,280

  • Very strong numbers after a long time
  • Beat on all parameters
  • Strong deal pipeline

Earlier, The market guru recommended OFFS as his pick of the year at Rs 4,364. 

 

Sell Axis Bank futures with a stop loss at Rs 1,100 for targets of Rs 1,060 and Rs 1,050

  • Private banks looking weak after the fall of HDFC Bank shares on weak results

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