Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi sees support for the headline Nifty50 index emerging at 21,175-21,250 levels and a strong buy zone at 21,000-21,075 levels on Monday, December 18. For the Nifty Bank, he expects support at 47,575-47,750 levels and a strong buy zone in the 47,325-47,500 band.

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

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

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Singhvi expects a blue-sky zone for the 50-scrip benchmark above 21,525. For the banking index, he sees a blue-sky zone coming in above 48,300.

ANIL SINGHVI MARKET STRATEGY 

  • FII index longs at 60 per cent vs 57 per cent the previous day
  • Nifty put-call ratio (PCR) at 1.47 vs 1.37, near an overbought level
  • Nifty Bank PCR at 1.12 vs 1.01
  • Volatility index India VIX up 6.5 per cent at 13.13

For existing long positions:

  • Nifty intraday stop loss at 21,300 and closing stop loss at 21,175
  • Nifty Bank intraday and closing stop loss at 47,700

For existing short positions:

  • Nifty intraday and closing stop loss at 21,525
  • Nifty Bank intraday and closing stop loss at 48,250

For new positions in Nifty:

  • The best range to buy Nifty is 21,175-21,250 levels with a stop loss at 21,150 for targets of 21,300, 21,400, 21,450 and 21,500; once the index is above 21,525, one can keep a trailing stop loss and held for a higher target
  • Aggressive traders can sell Nifty with a strict stop loss at 21,550 for targets of 21,400, 21,300, 21,250, 21,200 and 21,075

For new positions in Nifty Bank:

  • The best range to buy Nifty Bank is 47,525-47,750 with a stop loss at 47,350 for targets of 48,000, 48,150 and 48,200; above 48,250, one can keep a trailing stop loss and hold for a higher target
  • Aggressive traders can sell Nifty Bank with a strict stop loss at 48,300 for targets of 48,000, 47,950, 47,750, 47,600 and 47,525

Bulls may take a breather after seven-week run on Dalal Street

  • Usually, one-way rallies last 7-9 weeks followed by consolidation and mild correction
  • However, triggers for buying are strong this time around
  • Dips may offer opportunities for investors
  • Three levels are extremely important:
    • Support at 21,175-21,250 levels for the very short term
    • Support at 21,000-21,075 for the medium term
    • Support for positional investors at 20,700-20,850 levels
  • One can expect a change in trend once Nifty50 closes below 20,850 
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