Bank Nifty spot opened at 19927.60 and made a high of 19955.40, then went down till 19730.25, before closing at 19837.55. Had mentioned long positions can be taken above 20007 and short positions can be taken below 19811 for the day. Bank Nifty triggered our short trade and completed just 1 target giving around 60 points from the short trade. Had mentioned in the previous posts that 'After the outperformance we have seen from Bank Nifty we can expect a couple of days of sideways movement before the next big move'. Also had mentioned that 'Now Bank Nifty spot has a small support near 19815 - 19759 levels below 20080' and Bank Nifty has today again managed to close above this range after testing it for the third day in a row . Now we have immediate supports at 19605 - 19495 and if Bank Nifty breaks and sustains below 19495 which is also our trend reversal level then the next supports are at 19315 - 19185 . Also Bank Nifty has been taking support near 18444 - 18537 levels in the entire August month so this should provide strong support incase of a deeper correction. Had mentioned in the previous post that 'Bank Nifty outperformed the Nifty by a good margin and is now at a crucial level as it now needs to sustain above 20467 - 20505 to test higher levels this week' and Bank Nifty failed to close above this range after having broken it a few times and we saw Bank Nifty correct so far by nearly 845 points from the highs made last week. Now Bank Nifty has immediate resistance again at 20080 which is our trend continuation level .
Trend reversal in Bank Nifty for this series would be consecutive closing below 19495 and trend continuation would be on consecutive closing above 20080 spot .
For today if Bank Nifty spot sustains above 19932 we can see a initial move upto 20031 & on sustaining above 20056 we may see further upmove till 20236. Similarly if Bank Nifty spot sustains below 19744 we may see a initial move on the downside upto 19644 & on sustaining below 19619 we may see further downmove till 19439
Bank Nifty Spot Levels for the day are
Long above 19932 for 19990 – 20056 – 20236 , SL 19809
Short below 19744 for 19685 – 19619 – 19439 , SL 19867
If you want to see the post in your Inbox , kindly register by adding your email id in the 'Subscribe to my posts' section on the top right side of the blog. Also please give your valuable feedback by selecting the appropriate box at the bottom of the post.
Disclaimer : These are my personal views and one should do their own research before entering any trades based on them . The use of the blog is agreement that the blog is for informational and educational purposes only and does not constitute advice in any form in the furtherance of any trade or trading decisions.