Saturday, 7 January 2017

Weekly Spot Outlook of Bank Nifty for 09th to 13th January



BANK NIFTY

This week Bank Nifty spot went down 346 points and then went up by 148 points over last weeks close and finally ended the week with a gain of 87 points compared to last weekly closing . 


As per levels given for the previous week Bank Nifty Spot needed to break and sustain above 18336 to confirm uptrend and Bank Nifty spot needed to break and sustain below 18019 to confirm downtrend for the week. Bank Nifty made a high of 18325.50 and a low of 17830.95 


This week Bank Nifty initially triggered our short trade and completed our initial 3 targets giving us around 225 points from the short 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 above our confirmation levels to short again of 17808 and reversed . It then triggered our weekly long trade but could not confirm it . 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 '  and bank Nifty made a exact high of 18325.50 on Friday . 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 this week needs to break and sustain above 18415 - 18505 levels for the upmove to continue . 


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 18415 to confirm uptrend and then one can expect a move till 18575 initially and breaking and sustaining above 18615 will give further confirmation of the next move which can take us till 18904. Similarly Bank Nifty spot needs to break and sustain below 18113 to confirm downtrend and then one can expect a move till 17953 initially and breaking and sustaining below 17913 will give further confirmation of the next move which can take us down till 17624.


Bank Nifty Spot Levels for the week are

Long above 18357 , Tgt 18415 - 18462 - 18508

IF Bank Nifty spot manages to get a close / sustain above 18575 then 

long again for 18615 - 18753 - 18904

Short below 18171 , Tgt 18113 - 18066 - 18020

IF Bank Nifty spot manages to get a close / sustain below 17953 then 

short again for 17913 - 17775 - 17624


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.