Bank Nifty spot opened at 20274.75 and made a high at 20349.70, then went down till 20139.15 , before closing at 20245.30. Had mentioned long positions can be taken above 20494 and short positions can be taken below 20340 for the day. Bank Nifty triggered our short trade and completed more than 2 targets giving us around 150 points . Had mentioned in the previous post 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'. Now Bank Nifty spot has a small support near 19815 - 19759 levels below 20080 . Now we have immediate supports at 19605 - 19495 and if Bank Nifty breaks and sustains below 19495 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 today again Bank Nifty has closed just below it . As mentioned in the previous 'Those who are still holding longs from 19297 levels should keep a TSL at 20260 for their existing positions' and we have closed below it today . Now we need to watch if Bank Nifty sustains below 20080 for further correction which is its trend continuation level, since Nifty has already closed below its 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 . We saw Bank Nifty move up further by nearly 500 points on sustaining above 20080 .
For today if Bank Nifty spot sustains above 20324 we can see a initial move upto 20408 & on sustaining above 20429 we may see further upmove till 20580. Similarly if Bank Nifty spot sustains below 20166 we may see a initial move on the downside upto 20083 & on sustaining below 20061 we may see further downmove till 19910
Bank Nifty Spot Levels for the day are
Long above 20324 for 20373 – 20429 – 20580 , SL 20221
Short below 20166 for 20117 – 20061 – 19910 , SL 20270
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.