Saturday, 14 January 2017

Weekly Spot Outlook of Bank Nifty for 16th to 20th January

** There was a small error in theBank Nifty weekly levels posted and they have been rectified now .  Apologies for any inconvenience caused . 


This week Bank Nifty spot went down 8 points and then went up by 702 points over last weeks close and finally ended the week with a gain of 648 points compared to last weekly closing . 

As per levels given for the previous week Bank Nifty Spot needed to break and sustain above 18415 to confirm uptrend and Bank Nifty spot needed to break and sustain below 18113 to confirm downtrend for the week. Bank Nifty made a high of 18966.30  and a low of 18256.15 

This week Bank Nifty triggered our long trade and completed all our targets giving around 545 points from the long trade . Bank Nifty has corrected all the way till 17606.90 in the last week of December after caution was advised for longs in the month of September once 20080 was breached on closing  . We have now seen a correction of nearly 2400+ points from our caution level of 20080 given 16 weeks ago.  Bank Nifty took support just near our confirmation levels to short again of 17608* and reversed . Had mentioned in the previous weekly post 'Now Bank Nifty this week needs to break and sustain above 18415 - 18505 levels for the upmove to continue' . Bank Nifty had its next resistance near 18505 - 18805 levels where it had been taking resistance all through December and has it has closed above this level on Friday at 18912 . As mentioned in the previous post ' IF Bank Nifty breaks and closes above this range then we can expect a upmove till 19060 - 19210 levels'  . Now Bank Nifty this week needs to break and sustain above 19058 for the upmove to continue till 19653 with resistance near 19172 - 19252 . IF Bank Nifty sustains below 18690 then we can see a downmove till 18095 with support near 18576 - 18496 levels . Those who are intending to go long on corrections can keep a cbsl of 18506 . 

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 19065 to confirm uptrend and then one can expect a move till 19227 initially and breaking and sustaining above 19268 will give further confirmation of the next move which can take us till 19560. Similarly Bank Nifty spot needs to break and sustain below 18759 to confirm downtrend and then one can expect a move till 18597 initially and breaking and sustaining below 18557 will give further confirmation of the next move which can take us down till 18264.

Bank Nifty Spot Levels for the week are

Long above 19007 , Tgt 19065 - 19112 - 19160

IF Bank Nifty spot manages to get a close / sustain above 19227 then 

long again for 19268 - 19407 - 19560

Short below 18818 , Tgt 18759 - 18712 - 18665

IF Bank Nifty spot manages to get a close / sustain below 18597 then 

short again for 18557 - 18417 - 18264

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.

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