Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support emerging at 21,900-21,950 levels and a strong buy zone at 21,800-21,850 levels for the headline Nifty50 index on Friday, March 22.

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For the Nifty Bank, he expects support to come in at 46,250-46,400 levels and a strong buy zone at 45,825-46,025 levels.

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

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

He expects a higher zone for the headline index at 22,075-22,125 levels and a strong sell zone at 22,150-22,250 levels. 

For the banking index, Singhvi expects a higher zone at 46,975-47,175 levels and a strong sell zone at 47,325-47,525 levels. 

ANIL SINGHVI MARKET STRATEGY  

  • FII index longs at 33 per cent vs 31 per cent 
  • Nifty put-call ratio (PCR) at 1.17 vs 0.79
  • Nifty Bank PCR unchanged at 0.92
  • Volatility index India VIX down 7.1 per cent at 12.51

The market wizard believes traders will get ample opportunities to act on both sides ahead of a long weekend on Dalal Street owing to the Holi market holiday on Monday. He points out strong signals from global markets, decent buying by domestic funds, and strong buying by FIIs in the F&O segment even though they took out funds from the spot market. 

Singhvi suggests market participants buy at important support levels in case of a weak start to the day, with strong support for the Nifty50 and the Nifty Bank expected at 21,850-21,950 and 46,250-46,400 levels, respectively. 

Investors may also book profit at higher levels, and pick midcap and smallcap stocks selectively, he adds. 

For existing long positions:

  • Nifty intraday stop loss at 21,900 and closing stop loss at 21,800
  • Nifty Bank intraday stop loss at 46,500 and closing stop loss at 46,250

For existing short positions:

  • Nifty intraday and closing stop loss at 22,125
  • Nifty Bank intraday and closing stop loss at 47,050

For new positions in Nifty:

  • Buy Nifty in the 21,850-21,950 range with a stop loss at 21,700 for targets of 22,000, 22,025, 22,050, 22,075, 22,125 and 22,200
  • Aggressive traders can sell Nifty in the 22,075-22,200 range with a strict stop loss at 22,250 for targets of 22,025, 22,000, 21,950, 21,900, 21,850 and 21,825

For new positions in Nifty Bank:

  • Buy Nifty Bank in the 46,250-46,400 range with a stop loss at 46,200 for targets of 46,575, 46,675, 46,725, 46,800, 46,875 and 46,975
  • Aggressive traders can sell Nifty Bank in the 46,975-47,175 range with a strict stop loss at 47,250 for targets of 46,800, 46,750, 46,675, 46,575, 46,400 and 46,325

Is it a good time to buy IT stocks?

Singhvi highlights that a significant fall follows a significant rise in Accenture and investors should not be deterred by it. Although he warns of weakness in stocks such as Wipro and LTIMindtree, he advocates buying in case of a significant dip in the sector. 

The market guru says Coforge, Tech Mahindra and TCS look better than the rest of the pack at the moment. 

F&O ban update

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

Stock of the day

Buy Union Bank shares with a stop loss at Rs 142 for targets of Rs 151, Rs 153 and Rs 157

  • PSU banks looking strong
  • Axis initiates coverage with Rs 165 target 

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