Sunday, 12 March 2017

Weekly Spot Outlook of Bank Nifty for 14th to 17th March

BANK NIFTY

This week Bank Nifty spot went up 381 points over last weeks close and finally ended the week with a gain of 232 points compared to last weekly closing . 


As per levels given for the previous week Bank Nifty Spot needed to break and sustain above 20646 to confirm uptrend and Bank Nifty spot needed to break and sustain below 20345 to confirm downtrend for the week. Bank Nifty made a high of 20876.95  and a low of 20532.20


This week Bank Nifty triggered our long trade and completed 4 targets giving nearly 250 points from the short trade . In the previous week we had seen Bank Nifty test our cbsl for positional longs of 20427 and bounce back and this week it has closed 300 points above it .


Bank Nifty took support just near our confirmation levels to short again of 17608 in December and reversed to now make a high of 21042 in February gaining 3400+ points till now .Now Bank Nifty needs to break and sustain or close above 20932 for the up move to continue . 


Those who are holding longs or those who are intending to go long on a correction should keep a strict cbsl of 20427 for their positions.


For the month of March we can expect uptrend in Bank Nifty spot on a consecutive close above 20932 and downtrend in Bank Nifty spot on a consecutive close below 20283. Had mentioned last month 'For the month of February we can expect uptrend in Bank Nifty spot on a consecutive close above 19958 and we can expect downtrend in Bank Nifty spot on a consecutive close below 19072' and we got nearly 1050+ points once it closed above 19958 in February . 


The market was trading sideways the entire month so far as it was awaiting the election results held in the 5 states especially UP where the BJP government has won massively and now we can see the trading range breakout on the upside post market opening on Tuesday. The victory was always expected but the margin with which it has come is what the markets might celebrate as it paves the way for the government to implement reforms more smoothly. 


In the coming week Bank Nifty spot needs to break and sustain above 21115 to confirm uptrend and then one can expect a move till 21370 initially and breaking and sustaining above 21435 will give further confirmation of the next move which can take us till 21890. Similarly Bank Nifty spot needs to break and sustain below 20610 to confirm downtrend and then one can expect a move till 20490 initially and breaking and sustaining below 20427 will give further confirmation of the next move which can take us down till 20235. We may mostly see the initial weekly long targets get achieved on Tuesday itself after the massive victory by BJP in UP . It is advisable for small traders to avoid trading for a day as we may see some volatility in the coming sessions . 


Bank Nifty Spot Levels for the week are

Long above 21025 , Tgt 21115 - 21190 - 21265

IF Bank Nifty spot manages to get a close / sustain above 21370 then 

long again for 21435 - 21650 - 21890

Short below 20655 , Tgt 20610 - 20575 - 20540

IF Bank Nifty spot manages to get a close / sustain below 20489 then 

short again for 20427 - 20350 - 20235


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.