Bank Nifty Spot Outlook for 20th February

BANK NIFTY

Bank Nifty spot opened at 20918.45 and made a high of 21042.35 , then went down till 20449.65 before closing at 20551.35 . Had  mentioned that long positions can be taken above 20277 and short positions can be taken below 20210 for the day .  

Bank Nifty opened above our last daily long target and near our last weekly long target based on fresh FII buying allowed in Hdfc Bank which has a heavy weightage in Bank Nifty index.  Had mentioned in the previous post 'Today Nifty has confirmed our weekly shorts on closing and we need to see if Bank Nifty also does the same or it holds its levels and pulls back Nifty too' and today we saw Bank Nifty holding its levels and pulling Nifty also up . 

Now for this week Bank Nifty needs to break and sustain above 20674 then we can expect a move till 20749 - 20805 levels initially and closing above 20836 we can expect the next move till 20947 - 21070 . Similarly Bank Nifty needs to break and sustain below 20429 then we can expect a move till 20353 - 20300 levels initially and closing below 20265 we can expect a further move till 20155 - 20030 . 

For the month of February we can expect uptrend to continue in Bank Nifty spot on a consecutive closing above 19958 and downtrend on a consecutive closing below 19072 . In January had mentioned 18506 closing as the long confirmation level for Bank Nifty and we saw a move of 1700+ points after Bank Nifty gave a consecutive close above the monthly long confirmation level . This month so far we have got a further move of 1050+ points after Bank Nifty has closed above our long confirmation level .

Had mentioned in the previous post 'Bank Nifty is now near a resistance zone of 20427 - 20546 and has been taking resistance there . Bank Nifty needs to break this zone and sustain above 20585 for a further up move. Incase Bank Nifty is unable to break and sustain this range then we may see a correction from near 20427 - 20546 levels till 19950 - 19790 levels ' Bank Nifty broke well above these levels and made a new 52 week high too and has given a close just above the resistance zone of 20427 - 20546 and would now need to hold these levels for further move . Those who are holding longs or those who are looking to enter fresh longs on any corrections this week should keep a strict cbsl of 20405 spot for their positions . 

For today if Bank Nifty spot sustains above 20598 we can see a initial move till 20647 & on sustaining above 20659 we may see further move till 20747. Similarly if Bank Nifty spot sustains below 20505 we may see a initial move on the downside till 20456 &  on sustaining below 20444 we may see further move till 20355 . 

Bank Nifty Spot Levels for the day are

Long above 20598 for 20626 – 20659 – 20747 , SL 20537

Short below 20505 for 20477 – 20444 – 20355 , SL 20566

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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.