Anil Singhvi's Market Strategy June 4: Auto, metals, private banks set for positive drive

Nifty on Friday, June 1, 2018, closed lower by 39.95 points at 10,696 and BankNifty by 263.40 points at 26,692.80 respectively. The long traders also reduced their positions on the same day at the start of the series. Notably, discount in Nifty and BankNifty has reduced to 12 and 23 points only. Amid positive Global, Domestic Institutional Investors (DIIs), sentiments and neutral foreign institutional investors (FII) and Future and Options (F&O) cues, the domestic market trend is going to be positive on June 4, 2018. 

Zee Business's Managing Editor Anil Singhvi's Market Strategy for June 4:

10,700 and 26,700 are going to be deciding points in Nifty and BankNifty respectively. 

In case of Nifty, 10,675 to 10,800 is going to be a small trade range today. 

The next support zones in Nifty today stands at 10,650 to 10,675 but the mark of 10,675 should be treated as the first hint towards the weakness of the market. 

In case of BankNifty, 26,600 to 27,000 is going to be the trading range for traders and if it crosses the two marks than the traders can see an additional move of 150 points on the chart. 

Anil Singhvi suggests that traders reduce their buying positions on Nifty and BankNifty if it closes below the mark of 10,625 and 26,650 respectively. 

Buying Strategy for Nifty  

Buy Nifty with a stop loss at 10,675 and target of 10,750, 10,775 and 10,800. 

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Buying Strategy for BankNifty 

Buy Nifty with a stop loss at 26,650 and target of 26,950 to 27,100. 

The put-call ratio (PCR) for today stands at 1.48 and volatility index (VIX) is 13.57. 

Auto, Private banks and Metals are going to be positive and traders can plan to do positional trade in the sector.