Anil Singhvi’s Strategy April 1: Amid positive domestic institutional investors (DIIs), neutral foreign institutional investors (FIIs), futures & options (F&O) and negative global markets and sentiment cues, the short-term trend of the Indian stock markets will be negative on Wednesday, April 1, 2020, while sentiment is cautious.
Following the gains in the global stock markets, the domestic shares rallied on Tuesday, March 31, 2020. The gains in the global stocks were supported by data that showed manufacturing activity in China rebounded from record lows in March. Stocks also drew support from signs that the lockdown across much of Europe could be starting to have the desired effect of slowing the rate of new confirmed cases. The barometer index, the S&P BSE Sensex, surged 1,028.17 points or 3.62% at 29,468.49. The Nifty 50 index spurted 316.65 points 3.82% at 8,597.75. Bank Nifty gained 361.60 points or 1.93% to close at 19.144.
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Sentiment also improved after there were reports saying the government has put off implementation of the uniform stamp duty on transfer of shares, debentures, futures, options, currency and other capital market instruments to July 1, 2020. The change was earlier notified to be implemented from April 1, 2020.
Zee Business’s Managing Editor Anil Singhvi’s Market Strategy for April 1:
Day support zone on Nifty is 8,000-8,150, 8,250-8,300 and Bank Nifty is 17,900-18,000, 18,400-18,700.
Strong Sell Zone on Nifty is 8,650-8,750, 8,900-9,150 and Bank Nifty is 19,400-19,700, 20,000.
The small day range for trading on Nifty is 8500-8650, while the medium and bigger ranges are 8,400-8,750 and 8,250-8,900 respectively.
The small day range for trading on Bank Nifty is 18,800-19,500, while the medium and bigger ranges are 18,400-19,600 and 18,000-20,000 respectively.
For Existing Long Positions:
Nifty intraday stop loss 8,500 and closing stop loss 8,250.
Bank Nifty intraday and closing stop loss 18,700.
For Existing Short Positions:
Nifty intraday and closing stop loss 8,750.
Bank Nifty intraday and closing stop loss 19,700.
For New Positions:
Sell Nifty in 8,650-8,750 range with a stop loss of 8,900 and target 8,550, 8,500, 8,400, 8,300.
Buy Nifty in 8,250-8,300 range with a stop loss of 8,150 and target 8,400, 8,500, 8,550, 8,600.
Sell Bank Nifty in 19,300-19,700 range with a stop loss of 20,000 and target 19,100, 18,900, 18,700, 18,400.
Buy Bank Nifty in 18,400-18,700 range with a stop loss of 18,200 and target 18,900, 19,100, 19,300, 19,500.
Put-Call Ratio (PCR) High 1.19, Volatility Index (VIX) down 10% to 64.41.
No stocks in F&O Ban