Anil Singhvi’s Strategy May 31: Trend & Sentiments are Positive; Buy Coal India Futures with Stop Loss 251

Amid positive foreign institutional investors (FII), neutral global market and futures and options (F&O) and negative domestic institutional investors (DIIs) cues, the short-term trend and sentiments of the domestic Indian market will stay positive on Friday, May 31, 2019.

Ahead of Prime Minister Narendra Modi's swearing-in ceremony, the key equity benchmarks ended with modest gains. The Sensex and the Nifty, both, settled at a record high. The Sensex at Bombay Stock Exchange rose 329.92 points or 0.84 per cent to finish at record closing of 39,831.97 while the broader Nifty gained 84.80 points or 0.71 per cent to settle at 11,945.90. Similarly, Bank Nifty moved 241.55 points or 0.77 per cent up to end at 31,537.10. 

On the NSE index, NTPC, Yes Bank, Bajaj Finance, BPCL, Bharti Airtel, TCS and GAIL were among the major gainers of the day. 32 out of 50 stocks witnessed gains on the NSE platform. 

Zee Business's Managing Editor Anil Singhvi's Market Strategy for May 31:  
The small and medium day range for trading on Nifty lies between the mark of 11,900-12,000 and 11,850-12,000 respectively. Above 12,050 Nifty can go up to 12,200-12,300. 

The small and medium day range for trading on Bank Nifty lies between the mark of 31,500-31,650 and 31,300-31,725 respectively. Above 31,725 Bank Nifty can go up to 31,900-32,000. 

For Existing Long Positions:
Nifty intraday and closing basis stop loss of 11,850. 
Bank Nifty intraday and closing basis stop loss of 31,250.

For New Positions:
Buy Nifty with a stop loss of 11,850 and target 12,000, 12,050, 12,100. 
Buy Bank Nifty with a stop loss of 31,250 and target 31,650, 31,725.  
Sell Bank Nifty near 31,900-32,000 with a stop loss of 32,050 and target 31,800, 31,850. 

The put-call ratio (PCR) stands at 1.64 and the volatility index (VIX) is 15.61. 

Stock of the Day:
Buy Coal India Futures: Stop loss 251 and target 265, 272, 278. Strong Results, very good guidance, rerating possible, good dividend expected.