Nifty and Bank Nifty Strategy: Now, buy on dips, Anil Singhvi says; FIIs playing big role - buying at Rs 50,000 cr in Nov
The Foreign Institutional Investors (FIIs) have bought Indian equities worth Rs 50,000 cr this month. Will the new triggers bring more Foreign Institutional Investors (FIIs) inflow into India? Will the pace of inflows increase? Zee Business Managing Editor Anil Singhvi gives his take on this
The Foreign Institutional Investors (FIIs) have bought Indian equities worth Rs 50,000 cr this month. Will the new triggers bring more Foreign Institutional Investors (FIIs) inflow into India? Will the pace of inflows increase? Zee Business Managing Editor Anil Singhvi gives his take on this.
November 2020 has been the best month in the history of FII inflows, the Market Guru said adding that it was quite surprising. It has never happened that inflows over Rs 50,000 cr come in a single month. This is because the global equity markets are flushed with funds and some part of it is coming into the Indian markets, as well, he added.
Watch Zee Business Tweet Video Below:
गिरावट पर करें खरीदारी और शॉर्ट करने वाले स्टॉपलॉस जरूर लगाएं
अनिल सिंघवी- FIIs की खरीदारी घरेलू बाजार के लिए सबसे बड़ा ट्रिगर, दमदार खरीदारी से गिरावट की रिस्क कम और शॉर्ट कवरिंग से सहारा#EditorsTake #FIIs #Nifty #StockMarket @AnilSinghvi_ pic.twitter.com/CfqFRGPmYW
— Zee Business (@ZeeBusiness) November 24, 2020
The FIIs were underweight in March when the coronavirus pandemic started in India. The pulled out some money during that time. The long position of FIIs went up to 40 per cent.
It appears that the FIIs have realised that they cannot remain underweight in emerging markets. This has been a trigger for the inflows, he opined.
If the markets have made up their mind in one direction, then it will be immaterial what news emerge. They will buy if they have to buy or sell if they wish so.
He said that a lot of money was coming into the markets and wished that this was not “hot money” – term used to describe inflows based on existing momentum. This money comes into the market when the situation is optimistic and leaves the markets on negative momentum.
The good thing now is the aggressive buying trends in the cash markets, the Managing Editor said. The buying in cash markets is usually reliable, he added.
This is creating a positive impact on markets in two ways – one is that the risks of a market freefall are getting minismised. Even if the markets fall, they are likely to bounce back in 1-2 sessions.
It is also creating short positions at every level and is also triggering the short covering.
Nifty and Bank Nifty Strategy: Anil Singhvi’s advice to investors/traders for:
Traders who are trading in the markets should either stick to buy on tips strategy or if they are shorting, should do it with strict stop losses, he said.
See Zee Business Live TV Streaming Below:
The traders can also wait for all important support levels.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.