Anil Singhvi’s Strategy February 12: Pharma sector is Positive; PSU is Negative, Sell BHEL Futures with Stop Loss 39

Amid neutral global markets, domestic institutional investors (DIIs), futures & options (F&O) and sentiment and positive foreign institutional investors (FIIs) cues, the short-term trend of the Indian stock markets will be positive on Wednesday, February 12, 2020.

Domestic equity benchmarks, Sensex and Nifty, on Tuesday, February 11, 2020, snapped their losing streak of the last two consecutive sessions after investors tracked gains as global shares edged higher as some Chinese factories slowly resumed operations despite coronavirus deaths continued to mount.

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The Sensex at the Bombay Stock Exchange climbed 236.52 points, or 0.58 per cent, to end at 41,216.14. The Nifty at the National Stock exchange advanced 76.40 points, or 0.63 per cent, to 12,107.90. Likewise, Bank Nifty rose gained 242.45 points, or 0.78 per cent, and settled at 31,300.60.

Zee Business's Managing Editor Anil Singhvi's Market Strategy for February 12:

The small day range for trading on Nifty is 12,075-12,135, while the medium and bigger ranges are 12,025-12,160 and 12,000-12,200 respectively.

The small day range for trading on Bank Nifty is 31,200-31,450, while the medium and bigger ranges are 31,100-31,500 and 31,000-31,600.

For Existing Long Positions:

Nifty intraday 12,075 and closing stop loss 12,000.

Bank Nifty intraday 31,200 and closing stop loss 31,000

For Existing Short Positions:

Nifty intraday and closing stop loss 12,200.

Bank Nifty intraday and closing stop loss 31,500.

For New Positions:

Buy Nifty with a stop loss of 12,075 and target 12,135, 12,160, 12,200.

Sell Nifty in near 12,160-12,200 range with a stop loss of 12,250 and target 12,135, 12,100.

Buy Bank Nifty with a stop loss of 31,200 and target 31,450, 31,500, 31,600.

Sell Bank Nifty in 31,450-31,500 range with a stop loss of 31,600 and target 31,350, 31,300, 31,250, 31,200.

Put-Call Ratio (PCR) is 1.39 and the volatility index (VIX) is 13.88.

Still In F&O Ban: Yes Bank

Sectors:

Positive: Pharma

Negative: PSU

Result Review:

Coal India Futures: Results below estimates, no dividend announced. Buy near strong support level 170.

Stock of the Day:

Sell BHEL Futures: Stop loss 39 and target 37.50, 36, 35. Weak operational results and order book, but margins improved.