Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support for the headline Nifty index emerging at 19,650-19,725 levels and a strong buy zone at 19,550-19,625 levels on Friday, October 13, a day after Infosys and HCL Tech reported their quarterly financial results.

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For the Nifty Bank, he expects support at 44,250-44,400 levels and a strong buy zone at 44,000-44,125 levels.

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

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

Singhvi expects higher zones for the Nifty and the Nifty Bank at 19,800-19,850 and 44,600-44,750 levels, respectively. 

ANIL SINGHVI MARKET STRATEGY

Singhvi points out that there exists strong support at 19,550-19,650 and 44,000-44,200 for the Nifty and Nifty Bank gauges, which have not been able to take out the levels of 19,800 and 44,800 decisively, respectively. He highlights the emergence of weak signals from Wall Street, bond yields and the dollar index, along with pressure emanating from foreign fund outflows.

Back home, consumer inflation and factory output data turned out to be strong, he adds.      

  • FII index long positions unchanged at 29 per cent as the previous day
  • Nifty put-call ratio (PCR) at 1.21 vs 1.22
  • Nifty Bank PCR at 0.94 vs 0.95
  • Fear index India VIX down three per cent at 10.62

For existing long positions:

  • Nifty intraday and closing stop loss at 19,650
  • Nifty Bank intraday stop loss at 44,350 and closing stop loss at 44,000

For existing short positions:

  • Nifty intraday and closing stop loss at 19,850
  • Nifty Bank intraday and closing stop loss at 44,800

For new positions in Nifty:

  • Sell Nifty with a stop loss at 19,850 for targets of 19,725, 19,675, 19,650, 19,625, 19,575 and 19,550
  • Aggressive traders can buy Nifty in the 19,550-19,650 range with a strict stop loss at 19,500 for targets of 19,675, 19,715, 19,750, 19,775 and 19,800

For new positions in Nifty Bank:

  • Sell Nifty Bank with a stop loss at 44,800 for targets of 44,525, 44,425, 44,350, 44,300, 44,225 and 44,125
  • Aggressive traders can buy Nifty Bank in the 44,125-44,250 range with a strict stop loss at 44,000 for targets of 44,300, 44,350, 44,400, 44,525, 44,600 and 44,700

Stocks in ban:

  • New in ban: Delta Corp, Sun TV, BHEL
  • Already in ban: India Cements, Balrampur Chini, Hindustan Copper, L&T Finance, PNB, Manappuram Finance, Indiabulls Housing Finance
  • Out of ban: None

Result review:

Infosys 

  • Poor guidance despite strong order win
  • Results better than estimates
  • ADR down 6.5 per cent 
  • On Dalal Street, futures have support at Rs 1,380-1,400 and a higher range at Rs 1,460-1,480  

HCL Tech

  • Revenue guidance reduced
  • Results in line, margins better
  • Futures have support at Rs 1,170-1,180 and a higher range at Rs 1,230-1,255

Stock of the day:

Buy Angel One shares with a stop loss at Rs 2,080 for targets of Rs 2,130, Rs 2,145 and Rs 2,165

  • Strong quarterly results

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