Anil Singhvi Market Strategy (May 30): 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 24,600-24,735 levels and a strong buy zone at 24,500-24,600 levels on Friday, May 30, the first day of the June derivatives (F&O) series. For the Nifty Bank, the market wizard expects support at 55,200-55,350 levels and a strong buy zone at 54,800-55,000 levels. 

How market guru Anil Singhvi sums up trade setup: 

• Global: Neutral

• FII: Neutral

• DII: Positive

• F&O: Neutral

• Sentiment: Neutral

• Trend: Positive

• FII long positions at 20 per cent vs 29 per cent before Thursday’s session

• Nifty put-call ratio (PCR) at 0.86 vs 0.76

• Nifty Bank PCR at 1.01 vs 0.85

• Volatility index India INDIA VIX down 9 per cent at 16.42

The market wizard sees a higher zone at 24,900-25,000 levels and a profit-booking zone at 25,050-25,125 for the headline index.

For the banking index, he sees a higher zone at 55,700-55,875 levels and a profit-booking zone at 55,925-56,075 levels. ​

Anil Singhvi Shares Views | 4 major triggers for June F&O series

1. RBI policy | June 6

• Inflation seems to be under control
• There are hopes of a good monsoon season
• MPC’s focus on boosting growth is set to continue 
• RBI will likely cut key lending rates for a third straight time
• RBI Governor may even go for a big surprise by announcing a 50 bps cut

2. FOMC meeting | June 18

• Fed set to announce its decision on key interest rates
• A rate cut, in light of cooling inflation, could be a positive surprise

3. How fast and strong will India’s tariff deal be?

• US President Donald Trump is under some pressure on account of legal battles
• It is a golden opportunity for India to strike a good deal
• A round of meetings is set to begin next week
• A 90-day deadline on tariffs ends on July 9
• One can hope for a good deal in June 

4. Will FII, promoter and PE fund selling slow down or gather steam?

• May has seen heavy selling so far
• Promoters and PE funds carried out block deals and OFS to the tune of Rs 59,613 crore
• IPOs worth Rs 8,983 crore launched 
• Overall selling amounts to a massive Rs 68,596 crore
• However, in spot market, FII net inflows at Rs 18,222 crore this month
• FII buying has slowed over the past week
• FIIs have started to offload stocks and index futures
• In June, rising markets may see more block deals
• IPOs worth more than Rs 26,000 crore seen hitting Dalal Street in the next two months

Will Dalal Street take a hit in June F&O series?

• The market has seen three back-to-back strong series 
• During this period, Nifty has gained 2,286 points, Nifty Bank 6,801 points 
• FIIs appear bearish at the onset of the June series
• FII long positions in index futures down to just 20 per cent 
• Nifty open interest has risen to 1.26 crore, with more short rollovers
• Typically, the June series is mixed for the market
• In the last 5 years, 3 series saw positive market moves
• In 10 years, 5 series were positive
• Chances of some profit booking increasing given the three Since the last 3 series have been positive, 
• FIIs have paused buying towards the end of the May series
• Liquidity concerns due to promoters, PE funds, and IPOs pulling money out of the market
• Only good news from the RBI, US Fed, or tariff war can change the mood

What’s keeping the market from surging?

• Large block deals are pulling money out of the market
• FIIs slowing down on cash buying, selling in stocks and index futures
• Dalal Street has already absorbed most positive triggers
• Valuations that looked cheap at 22,000 are now reasonable at 25,000
• DII inflows offering support at lower levels, helping the market stay afloat 
• Until the narrow range is broken, one should consider staying aligned with the larger trend

Two key levels in June F&O series

• Rally may halt if Nifty closes below 24,450
• A weak trend will be confirmed if Nifty closes below 23,900 

Will midcap and smallcap stocks continue to rally?

• View remains the same: Buy midcap and smallcap stocks of companies with strong results
• This is a stock-specific market; that’s where the money appears to be
• As long as Nifty50 doesn’t breach key levels, stay with the major rally in smaller stocks

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

For existing long positions: 

• Nifty intraday and closing stop loss at 24,650

• Nifty Bank intraday and closing stop loss at 55,000

For existing short positions:

• Nifty intraday stop loss at 24,925 and closing stop loss at 25,075

• Nifty Bank intraday stop loss at 55,800 and closing stop loss at 55,700

For new positions in Nifty50:

• Aggressive traders can buy Nifty in the 24,600-24,735 range with a strict stop loss at 24,500 for targets of 24,765, 24,825, 24,850, 24,900, 24,950 and 25,000

• Aggressive traders can sell Nifty in the 24,950-25,075 range with a strict stop loss at 25,150 for targets of 24,900, 24,850, 24,825, 24,765, 24,735 and 24,700

For new positions in Nifty Bank:

• Aggressive traders can buy Nifty Bank in 55,200-55,350 range with a strict stop loss at 55,000 for targets of 55,425, 55,500, 55,575, 55,675, 55,775 and 55,875

• Aggressive traders can sell Nifty Bank in the 55,775-55,925 range with a strict stop loss at 56,100 for targets of 55,700, 55,575, 55,500, 55,425, 55,350 and 55,200

Stocks in F&O ban

• New in ban: None

• Already in ban: None

• Out of ban: None

RESULT REVIEW | BAJAJ AUTO

• Strong performance
• Outlook intact
• Results operationally better
• The stock has support at Rs 8,800 in the cash market
• A higher level expected at Rs 8,950

 

STOCKS OF THE DAY | LEMON TREE, SJVN, ALKEM LABS

Buy Lemon Tree Hotels shares for targets of Rs 145, Rs 147 and Rs 150 with a stop loss at Rs 140  

• Results strong on all fronts

Sell SJVN shares for targets of Rs 100, Rs 99 and Rs 97 with a stop loss at Rs 104 

• Results weak on all parameters

Sell Alkem Labs shares for targets of Rs 5,250, Rs 5,200, Rs 5,160 and Rs 5,105 with a stop loss at Rs 5,350 

• Results weak 
• Brokerage downgrades continue 
• EPS estimates cut by 10 per cent