Anil Singhvi’s Strategy February 7: Buy Metals & OMC on dips; book profit in PSU Banks & NBFC

Amid neutral global markets, foreign institutional investors (FIIs), domestic institutional investors (DIIs) & futures & options (F&O) and positive sentiment cues, the short-term trend of the Indian stock markets will be positive on Friday, February 7, 2020.

Rising for the fourth straight day, on Thursday, February 6, 2020, the Sensex at the Bombay Stock Exchange rose 163.37 points, or 0.40 per cent, to end at 41,306.03. The Nifty at the National Stock exchange gained 48.80 points, or 0.37 per cent, to 12,137.95. Bank Nifty rose 302.10 points, or 0.92 per cent, to 31,304.05.

Zee Business's Managing Editor Anil Singhvi's Market Strategy for February 7: 

Strong Day Support Zone on Nifty is 12,050-12,100 and Bank Nifty is 30,900-31,100.

The small day range for trading on Nifty is 12,100-12,160, while the medium and bigger ranges are 12,050-12,200 and 12,025-12,250.

The small day range for trading on Bank Nifty is 31,050-31,450 and the medium is 30,900-31,600.

For Existing Long Positions:

Nifty intraday and closing stop loss 12,075.

Bank Nifty intraday 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 Short Positions:

Sell Nifty with a stop loss of 12,200 and target 12,100, 12,075.

Buy Nifty in near 12,050-12,100 range with a stop loss of 12,000 and target 12,135, 12,160, 12,200.

Sell Bank Nifty with a stop loss of 31,500 and target 31,200, 31,100, 31,000, 30,900.

Buy Bank Nifty in 30,900-31,000 range with a stop loss of 30,850 and target 31,200, 31,300, 31,450.

Put-Call Ratio (PCR) higher at 1.48 and the volatility index (VIX) is 13.78.

In F&O Ban: Yes Bank

Sectors:

Positive: Metals and OMC buy on dips, 2 Wheeler Auto.

Negative: Profit booking in PSU Banks and NBFC.

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Stock of the Day:

Buy Hero Moto Futures: Stop loss 2355 and target 2405, 2435, 2465. Strong operational Results, Better Guidance for next year.