Anil Singhvi Market Strategy (June 4): How to trade Nifty 50, Nifty Bank today, key levels to track & more

Anil Singhvi Market Strategy: Zee Business Managing Editor Anil Singhvi expects support for the headline Nifty50 index at 24,400-24,500 levels and a strong buy zone at 24,275-24,365 levels on Wednesday, June 4. For the Nifty Bank, the market wizard expects support at 55,250-55,400 levels and a strong buy zone at 55,000-55,200 levels. 

How market guru Anil Singhvi sums up trade setup: 

• Global: Positive

• FII: Negative

• DII: Positive

• F&O: Neutral

• Sentiment: Cautious

• Trend: Positive

• FII long positions at 17 per cent vs 19 per cent before Tuesday’s session

• Nifty put-call ratio (PCR) at 0.65 vs 0.82

• Nifty Bank PCR at 0.87 vs 1.04

• Volatility index India VIX down 3.5 per cent at 16.55

   

The market wizard expects a higher zone at 24,675-24,750 levels and a strong sell area at 24,825-24,950 levels in the headline index.

In the banking index, he expects a higher zone at 55,750-55,875 levels and a strong sell zone at 55,950-56,100 levels.

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Why are FIIs selling so much?

• FIIs went on a major selling spree in the first three days of the June series
• Yesterday alone, they sold Rs 8,039 Cr across cash, stocks, and index futures
• Domestic funds, however, bought Rs 5,908 Cr—marking the 11th straight day of buying
• But there’s no strong or clear reason behind the FIIs’ selling
• Nifty levels have now surged from 22,000 to nearly 25,000
• Maybe they feel the market has already priced in most of the positives
• After a solid rally, even the rupee has now stabilised

Hard to sustain if market opens with a gap-up?

• FIIs’ selling is exerting consistent pressure at higher levels
• Despite heavy buying from domestic funds, markets can’t hold up
• Ongoing block deals are weighing down the market
• Had this money come in as regular buying instead of block deals, the market would’ve rallied

Which event could be the game changer?

• RBI policy on June 6 could be decisive
• A 0.5% rate cut could trigger a strong rally
• A 0.25% cut with cautious commentary may lead to selling

Chance to buy shares cheap in block deals?

• Four big block deals lined up today
• AB Fashion block deal may not yield gains—best to avoid
• If Alkem Labs’ block deal comes at a good discount, it could be a trading opportunity
• Tata Tech could be a strong investment at block deal or floor price levels

Will the rally in mid- and small-cap stocks continue?

• Even in this range-bound market, mid- and small-cap stocks remain impressively strong
• No cause for concern unless Nifty closes below 24,450
• Selling pressure from FIIs is mostly limited to large-cap stocks
• Hence, the market’s focus is shifting more towards mid- and small-caps
• For now, stay focused on sector- and stock-specific action
• Good buying opportunities in mid-cap PSU banks, PSU NBFCs, FMCG, and infra stocks

ANIL SINGHVI MARKET STRATEGY | How to trade Nifty Bank and Nifty50?

For existing long positions: 

For existing short positions:

For new positions in Nifty50:

• Aggressive Traders Sell Nifty in 24750-24875 range: Strict SL 25000 Tgt 24675, 24600, 24550, 24500, 24465, 24400
• Aggressive Traders Buy Nifty: Strict SL 24450 Tgt 24600, 24675, 24700, 24750, 24800, 24850

For new positions in Nifty Bank:

• Aggressive Traders Buy Bank Nifty in 55250-55400 range: Strict SL 55000 Tgt 55475, 55575, 55650, 55750, 55875, 55950, 56075

• Aggressive Traders Sell Bank Nifty in 55900-56100 range: Strict SL 56200 Tgt 55825, 55750, 55650, 55575, 55500, 55400

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