Anil Singhvi’s Strategy January 30: Oil Companies are Positive; Metal and Banking Sector are Negative

Amid positive domestic institutional investors (DIIs) neutral foreign institutional investors (FIIs), futures & options (F&O) and negative global markets, the short-term trend of the Indian stock markets will be Neutral on Thursday, January 30, 2020, while sentiment is cautious.

Key equity market barometers firmed up once again to hit the day's high in the afternoon trade on Wednesday, January 29, 2020. Recovery in global stock markets boosted sentiment. However, gains were capped ahead of January F&O expiry on Thursday and the Union Budget on Saturday. S&P BSE Sensex ended 231.80 points, or 0.57%, high at 41,198.66, while Nifty 50 index jumped 73.70 points, or 0.61%, to close at 12,129.50. Similarly, Bank Nifty was up by 115.60 points, or 0.38%, to 30,877.00.

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Zee Business's Managing Editor Anil Singhvi's Market Strategy for January 30:

Next important support zone on Nifty is 11,975-12,075 and Bank Nifty is 30,500-30,650. 

Strong selling zone on Nifty is 12,150-12,225 and Bank Nifty is 31,050-31,225. 

The small day range for trading on Nifty is 12,075-12,150, while the medium and bigger ranges are 12,025-12,175 and 12,000-12,200 respectively. 

The small day range for trading on Bank Nifty is 30,750-30,950, while the medium and bigger ranges are 30,700-31,050 and 30,650-31,150 respectively. 

For Existing Long Positions:

Nifty intraday and closing stop loss 12,000. 

Bank Nifty intraday and closing stop loss 30,600. 

For Existing Short Positions:

Nifty intraday and closing stop loss 12,225. 

Bank Nifty intraday and closing stop loss 31,150.

For New Positions:

Sell Nifty with the stop loss of 12,225 and target 12,100, 12,075, 12,025, 12,000. 

Buy Nifty in 12,000-12,025 range with the stop loss of 11,950 and target 12,075, 12,100, 12,125, 12,150. 

Sell Bank Nifty in 31,000-31,100 range with the stop loss of 31,200 and target 30,850, 30,750, 30,700, 30,650. 

Buy Bank Nifty in 30,625-30,700 range with the stop loss of 30,500 and target 30,800, 30,850, 30,950, 31,050.

Put-Call Ratio (PCR) lower at 1.13, the volatility index (VIX) up 16.50. 

No stock in F&O Ban

Sectors:

Positive: Oil companies

Negative: Metals, Banks

Stock of the Day:

Sell IndusInd Bank Futures: Stop loss 1265 and target 1245, 1235. UBS reduced the target to 1150.