Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support for the headline Nifty50 index emerging at 21,675-21,750 levels and a strong buy zone at 21,575-21,650 levels on Tuesday, January 30. For the Nifty Bank, he expects support to come in at 45,150-45,350 levels and a strong buy zone at 44,875-45,025 levels.

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

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

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Singhvi expects a higher zone for the Nifty50 at 21,775-21,850 levels and a profit-booking zone at 21,900-21,975 levels. For the banking index, he expects a higher zone at 45,650-45,725 levels and a strong sell zone at 45,975-46,175 levels. 

ANIL SINGHVI MARKET STRATEGY 

The market wizard points out strong buying by FIIs on Dalal Street and a record high overnight on Wall Street. The Nifty50 is geared up to scale a fresh record high following the breakout on Monday, he says. 

Singhvi suggests investors adopt a 'buy on dips' strategy in the market with ample opportunities in midcap and smallcap segments. For the banking index, he expects strong resistance at 46,000-46,200 levels. 

  • FII index longs at 25 per cent vs 22 per cent the previous day
  • Nifty put-call ratio (PCR) at 1.21 vs 1.04
  • Nifty Bank PCR at 0.85 vs 0.71
  • Volatility index India VIX up 13 per cent at 15.68

For existing long positions:

  • Nifty intraday and closing stop loss at 21,550
  • Nifty Bank intraday and closing stop loss at 45,000

For existing short positions:

  • Nifty intraday and closing stop loss at 21,850
  • Nifty Bank intraday and closing stop loss at 45,725

For new positions in Nifty:

  • Buy Nifty with a stop loss at 21,625 for targets of 21,800, 21,825, 21,850, 21,900, 21,925 and 21,975
  • Aggressive traders can sell Nifty in the 21,850-21,975 range with a strict stop loss at 22,125 for targets of 21,800, 21,775, 21,725, 21,675, 21,650 and 21,625

For new positions in Nifty Bank:

  • Buy Nifty Bank with a strict stop loss at 45,075 for targets of 45,650, 45,725, 45,800, 45,900, 45,975, 46,025 and 46,175
  • Sell Nifty Bank in the 45,975-46,175 range with a strict stop loss at 46,250 for targets of 45,800, 45,725, 45,650, 45,550 and 45,475

F&O ban update

  • No stock in F&O ban

RESULTS REVIEWS

Petronet LNG

  • Results better than estimates
  • Highest-ever profit in 13 quarters
  • Hold long positions with a stop loss at Rs 258
  • Higher levels for futures at Rs 272 and Rs 277

NTPC

  • Results a mixed bag
  • Margin and operating profit below estimates
  • Support for futures at Rs 313; a higher level at Rs 333

Stocks of the day

Sell Bajaj Finance futures with a stop loss at Rs 7,285 for targets of Rs 7,150, Rs 7,050 and Rs 6,980

  • Profit below estimates
  • Higher credit cost a concern
  • Outlook not very strong

Sell ITC futures with a stop loss at Rs 454 for targets of Rs 436, Rs 432 and Rs 422

  • Cigarette volume, down 2.0 per cent, weak 
  • FMCG revenue below estimates
  • Hotel business very strong

Buy Venus Pipes shares with a stop loss at Rs 1,434 for targets of Rs 1,478, Rs 1,495 and Rs 1,520

  • Results very strong 
  • Highest-ever revenue and profit
  • Operational performance strong 

What to expect from Epack listing today? 

The market guru, who expected the stock to list near its issue price of Rs 230, suggests investors hold on to Epack from a perspective of 1-3 years. For short-term investors, he recommends placing a stop loss at Rs 215.

Should you subscribe to BLS E-Services IPO?

Singhvi suggests applying for the IPO for a listing gain. He has identified the following key points about the market-bound company: 

Positive:

  • Experienced management
  • Background of promoters strong 
  • Niche and unique business model
  • Strong growth record through acquisitions
  • Asset light business model
  • Positive free cash flow and debt free
  • Valuations reasonable 

Negative:

  • Heavy dependence on SBI for business
  • Dependence on parent company for e-governance business

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