Anil Singhvi strategy March 21: Important levels to track in Nifty50, Nifty Bank today

Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees strong support emerging at 21,700-21,800 for the headline Nifty50 index on Thursday, March 21.

For the Nifty Bank, he expects support to come in at 46,050-46,250 and a strong buy zone at 45,675-45,825 levels.

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

• Global: Positive

• FII: Negative

• DII: Positive

• F&O: Positive

• Sentiment: Neutral

• Trend: Positive

The market wizard expects a higher zone for the headline index at 21,975-22,050 levels and a profit booking zone at 22,125-22,200 levels. 

For the banking index, Singhvi expects a higher zone at 46,650-46,800 levels and a profit-booking zone at 46,850-46,975 levels. 

ANIL SINGHVI MARKET STRATEGY  

The market guru believes that the Nifty50 and the Nifty Bank are unlikely to crack below 21,700 and 45,800, the lows of the last two sessions, respectively, amid strength across global markets, strong buying by domestic funds, and expected short-covering moves by FIIs.  

Singhvi also points out that two bouts of wild swings in the market on Wednesday have led to lighter positions for traders. He expects important higher levels for the Nifty and the Nifty Bank in the 22,000-22,050 and 46,650-46,800 bands, respectively.

• FII index longs at 31 per cent vs 33 per cent 
• Nifty put-call ratio (PCR) at 0.79 vs 0.73
• Nifty Bank PCR at 0.92 vs 0.72
• Volatility index India VIX down 4.5 per cent at 13.47

What Jerome Powell said

Fed Chair Jerome Powell's status quo on the benchmark interest rate and remarks that the US central bank remains on track for three interest rate cuts this year amid expectations of solid economic growth sent a positive signal to Wall Street. Here are some of the highlights of the latest FOMC policy meeting:  

• Fed to cut rates thrice in 2024
• Easing worries about red-hot US consumer inflation 
• Spike in inflation owing to seasonal factors
• Extremely strong growth trend
• Fed raises GDP estimate
• Fed to boost liquidity from the next policy review

How to trade midcap and smallcap shares 

The market wizard suggests investors plan about their moves beyond March in advance with the current juncture offering opportunities to pick midcap and smallcap stocks. 

Investors must focus on good quality stocks available at favourable valuations from the segments, and buy gradually without panicking, he says. 

Which stocks will outperform the market during a recovery?

Singhvi expects metal and PSU stocks to rally, and banking, power, oil & gas, and Adani group stocks to strengthen in case of a recovery. 

For existing long positions:

• Nifty intraday stop loss at 21,700 and closing stop loss at 21,800

• Nifty Bank intraday stop loss at 46,000 and closing stop loss at 46,250

For existing short positions:

• Nifty intraday and closing stop loss at 22,050

• Nifty Bank Intraday and closing stop loss at 46,650

For new positions in Nifty:

• Buy Nifty with a stop loss at 21,700 for targets of 21,975, 22,000, 22,025, 22,050, 22,125, 22,150 and 22,200

• Aggressive traders can sell Nifty in the 22,025-22,125 range with a strict stop loss at 22,200 for targets of 21,975, 21,925, 21,900, 21,850 and 21,800

For new positions in Nifty Bank:

• Buy Nifty Bank with a stop loss at 46,000 for targets of 46,575, 46,650, 46,725, 46,800, 46,875 and 46,975

• Aggressive traders can sell Nifty Bank in the 46,800-46,975 range with a strict stop loss at 47,200 for targets of 46,725, 46,650, 46,600, 46,400, 46,325 and 46,250

F&O ban update

• New in ban: Tata Chemicals
• Out of ban: SAIL, BHEL
• Already in ban: Indus Towers, Balrampur Chini, Biocon, Hindustan Copper, RBL Bank, Piramal Enterprises, Zee Entertainment Enterprises

Stocks of the day

Buy SAIL futures with a stop loss at Rs 121.5 for targets of Rs 126, Rs 128 and Rs 130

• Metal stocks looking strong
• Stock out of F&O ban today

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