Anil Singhvi’s Strategy July 22: Market Trend & Sentiment are Negative; Private Banks & NBFC are Negative

Amid positive domestic institutional investors (DIIs), neutral futures and options (F&O) and negative global markets, foreign institutional investors (FIIs) cues, the short-term trend of the domestic Indian markets will be Negative on Monday, July 22, 2019, while sentiment is negative.

Earlier on Friday, July 19, 2019, the benchmark domestic indices plunged around one and half a per cent amid heavy foreign fund outflow. Sensex and Nifty, both, logged losses for the second session in a row even as cues from global equity markets were positive. Sensex at Bombay Stock Exchange declined 560.49 points or 1.44 per cent to close at 38,337.01. Nifty at National Stock Exchange was also down 177.65 points or 1.53 per cent to end at 11,419.25. Similarly, Bank Nifty declined by 660.25 points or 2.17 per cent to close below 30,000-mark at 29,770.35. 

Zee Business's Managing Editor Anil Singhvi's Market Strategy for July 22: 
The small day range for trading on Nifty stands at 11,350-11,450 while the medium and bigger ranges lie between 11,300-11,500 and 11,250-11,550 respectively. 
The small day range for trading on Bank Nifty stands at 29,500-30,000 while the medium ranges reside at 29,200-30,300.

For Existing Long Positions:
Nifty intraday and closing stop loss already triggered at 11,600.
Bank Nifty intraday and closing stop loss already triggered at 30,400. 

For Existing Short Positions:
Nifty intraday stop loss 11,500 and closing stop loss 11,550. 
Bank Nifty intraday stop loss 30,000. 

For New Positions:
Sell Nifty with a stop loss of 11,500 and target 11,350, 11,300, 11,250. 
Buy Nifty near 11,300 with a stop loss of 11,250 and target 11,350. 
Sell Bank Nifty with a stop loss of 30,000 and target 29,500, 29,350. 
The put-call ratio (PCR) stands at 1.04 and the volatility index (VIX) is 12.52.

Sectors:
Negative: Private Banks, NBFC
Out of F&O Ban: Tata Elxsi
4 already in Ban: IDBI, Reliance Capital, Reliance Infrastructure, DHFL

Result Analysis:
Buy Indigo Futures: Stop loss 1450 and target 1500-1525. Excellent results as expected, profit-booking expected after a gap up opening.
Buy Amara Raja Futures: Stop loss 610 and target 625, 640. Excellent results, short-covering expected. 

Stock of the Day:
Sell HDFC Bank Futures: Stop loss 2400 and target 2325, 2305. Commentary on growth slowdown and stress on unsecured loans. 

Aaj ka Hero:
Sell L&T Finance Futures: Stop loss 113 and target 105, 103. Two businesses constitute 9 per cent of AUM is classified as a defocussed business.