Anil Singhvi's Market Strategy October 10: Short-term trend is negative; NBFC, Aviation, Metals are positive
After a volatile day, the markets ended in the red on October 9, 2018, as the Bulls failed to push the market higher.
After a volatile day, the markets ended in the red on October 9, 2018, as the Bulls failed to push the market higher. Nifty 50 ended 47 points (0.45%) lower at 10,301.05 while S&P BSE Sensex was down by 174.91 points (0.51%) and closed at 34,299.47. Similarly, Nifty Bank also crawled down by 90.70 points (0.37%) to close at 24,527.65.
Dr Reddy’s and Zee Entertainment were amongst the top gainers of the day – up by 5.36% and 4.58% respectively. Tata Motors was the top loser of the day – losing more than 13.09% in a day post a dent in demand for JLR. Amid positive domestic institutional investors (DIIs), neutral global market, future and option (F&O), negative foreign institutional investors (FII) and cautious sentiment cues, the short-term trend of the Indian market will be negative on October 10, 2018.
Zee Business's Managing Editor Anil Singhvi's Market Strategy for October 10:
10,300 and 24,500 are going to be the deciding levels on Nifty and BankNifty.
Small trading range on Nifty stands at 10,250-10,400 and the bigger range lies between 10,200-10,500.
The small, bigger and extreme trading range on BankNifty lies between 24,450-24,750, 24250-24900 and 24,000-25,000.
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Fresh weakness and selling can be seen in the market, if the two indices, Nifty and BankNifty, fall below the mark of 10,200 and 24,250.
Short coverings and fresh buying will be visible in the market if the two indices cross the mark of 10,400 and 24,750.
The big selling zone on Nifty and BankNifty lies between 10,500-10,600 and 24,800-25,000.
Traders are advised to close their buying positions if the two indices trade below the mark of 10,300 and 24,400 respectively.
However, traders can reduce their selling positions if Nifty and BankNifty close above the mark of 10,600 and 24,800.
Buy and Sell strategy on Nifty:
Buy Nifty with a stop loss of 10,250 and target 10,350-10,400-10,500.
Sell Nifty in 10,400-10,500 range with a stop loss of 10,550 and target of 10350
Buy and Sell strategy on BankNifty:
Buy BankNifty with stop loss of 24,250 and target 24,750-24,800-24,900.
Sell BankNifty in 24,750-24,900 range with a stop loss 25,000 and target 24,600-24,500.
In F&O Ban: IDBI
The put-call ratio (PCR) stands at 1.11 and the volatility index (VIX) is 19.75.
Positive: NBFC, Aviation, Metals
Stock of the Day:
Buy NALCO Futures: Stop loss 60 and target 64, 66.50, 68. The board of directors of the company will meet on October 12 to consider the buyback proposal.
Buy Indigo Futures: Stop loss 710 Target 745, 755. Duty reduction expected on ATF.
Buy HEG: Stop loss 3150 and target 3330, 3365.