Wishing everyone a very Happy , Healthy and Prosperous 2017
This week Bank Nifty spot went down 277 points and then went up by 362 points over last weeks close and finally ended the week with a gain of 293 points compared to last weekly closing .
As per levels given for the previous week Bank Nifty Spot needed to break and sustain above 17976 to confirm uptrend and Bank Nifty spot needed to break and sustain below 17792 to confirm downtrend for the week. Bank Nifty made a high of 18245.75 and a low of 17606.90
This week Bank Nifty initially triggered our short trade and completed nearly 5 targets giving us around 200 points from the short trade . Bank Nifty had corrected all the way till 18824.40 in the month of October and it had corrected further till 18143.70 in the month of November after caution was advised for longs in the month of September once 20080 was breached on closing . For the month of December Bank Nifty made a low of 17606.90 . We have now seen a correction of nearly 2000+ points from our caution level of 20080 given 15 weeks ago. Bank then triggered our long trade and completed nearly all 6 targets giving around 300 points . Had mentioned in the previous weekly post 'Now Bank has to sustain above 18075 to test the initial resistance near 18275 - 18325 . Bank Nifty needs to break and sustain above this range in the coming week for further upmove ' . Bank Nifty has its next resistance near 18505 - 18805 levels where it had been taking resistance all through December . IF Bank Nifty breaks and closes above this range then we can expect a upmove till 19060 - 19210 levels . Now Bank Nifty needs to break and sustain above 18336 this week for the upmove to continue till 18505 .
For the month of January we can expect uptrend in Bank Nifty Spot on a consecutive close above 18506 and downtrend continuation would be on a consecutive close below 17848 .
In the coming week Bank Nifty spot needs to break and sustain above 18336 to confirm uptrend and then one can expect a move till 18504 initially and breaking and sustaining above 18546 will give further confirmation of the next move which can take us till 18849. Similarly Bank Nifty spot needs to break and sustain below 18019 to confirm downtrend and then one can expect a move till 17850 initially and breaking and sustaining below 17808 will give further confirmation of the next move which can take us down till 17505.
Bank Nifty Spot Levels for the week are
Long above 18275 , Tgt 18336 - 18385 - 18434
IF Bank Nifty spot manages to get a close / sustain above 18504 then
long again for 18546 - 18691 - 18849
Short below 18079 , Tgt 18019 - 17970 - 17921
IF Bank Nifty spot manages to get a close / sustain below 17850 then
short again for 17808 - 17664 - 17505
P.S. Always wait for the yellow highlighted levels to be crossed after taking a long/short position for confirmation of the trade . Once the highlighted levels are crossed and the next target is achieved move your Stoploss to the highlighted levels .
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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.