Bank Nifty spot opened at 18242.30 and made a high of 18249, then went down till 17844.90 before closing at 17969.80 . Had mentioned that long positions can be taken above 18237 and short positions can be taken below 18117 for the day . Bank Nifty triggered our long at opening but did not sustain and took our SL . It then triggered our short trade and completed all targets giving around 200+ points . Had mentioned last week that 'Now Bank Nifty has initial resistance at 18075 and IF it closes / sustains above 18075 then we may see a test of the next resistance of 18285 and we saw Bank Nifty make a high of 18245.75 but it did not test 18285 . Above 18285 Bank Nifty has its next resistance at 18505 - 18805 levels where it has been taking resistance the entire month of December . On closing above these levels we can expect a bounce till 19020 - 19210 levels . Till Bank Nifty does not give a consecutive close above 18506 this month we can expect the upmoves to be sold into . For this week if Bank Nifty confirms our weekly longs by sustaining / closing above 18336 we can expect Bank Nifty to face resistance near 18434 - 18504 initially . Closing above 18546 we can expect a move till 18691 - 18849 . Similarly if Bank Nifty confirms our weekly shorts by sustaining / closing below 18019 we can expect Bank Nifty to get some support near 17920 - 17850 initially .Closing below 17808 we can expect a move till 17664 - 17505 . Today we saw Bank Nifty test the lower end of our initial weekly support levels of 17920 - 17850 by making a low of 17844.90 and reverse for the day . Now as long as Bank Nifty is sustaining below 18079 it is weak . Today Bank Nifty also tested our monthly level to go short but has closed well above it .Further correction will be seen once Bank Nifty breaks and sustains below 17808 now. Those who are holding shorts should keep a cbsl of 18020 now .
For the month of January we can expect uptrend in Bank Nifty spot on a consecutive closing above 18506 and downtrend to continue on a consecutive closing below 17848 .
For today if Bank Nifty spot sustains above 18031 we can see a initial move upto 18095 & on sustaining above 18111 we may see further upmove till 18228 . Similarly if Bank Nifty spot sustains below 17909 we may see a initial move on the downside upto 17845 & on sustaining below 17828 we may see further downmove till 17712
Bank Nifty Spot Levels for the day are
Long above 18031 for 18068 – 18111 – 18228 , SL 17951
Short below 17909 for 17871 – 17828 – 17712 , SL 17989
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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.