Weekly Spot Outlook Of Bank Nifty for 18th to 22nd May

In the previous week : 

Bank Nifty went down by 1066 points then went up by 769 points before finally ending the week lower by 519 points compared to its last weekly closing. 

Bank Nifty triggered our short trade and nearly completed our initial 3 targets giving 640 points before taking our TSL. Post that Bank Nifty reversed to trigger our long trade with a gap up which not be traded and also it but could not sustain taking the stoploss. Post that we saw Bank Nifty again trigger our short trade and do 235 points . Bank Nifty was very volatile and indicated indecisiveness.

Bank Nifty had made a life time high of 32613.10 on 30th December and has been trading sideways to negative since then .

Bank Nifty for this week :

• Sustaining above 19085 enter for 19240 - 19365 - 19490

• Further sustaining above 19665 enter for 19775 - 20140 - 20545

• Sustaining below 18585 enter for 18430 - 18305 - 18180

• Further sustaining below 18000 enter for 17895 - 17525 - 17125

As per weekly closing we can see some support near 18355 - 18060 and resistance near 19315 - 19610 which should be watched incase of a gap up or gap down for additional confirmation this week.

How to use these levels  

• For longs/shorts enter on breaking above the first weekly levels mentioned and hold on sustaining above /below the highlighted green/red level and look to book partly/fully once it completes its initial 3 targets . Re-enter if price again breaks above/below the further first level mentioned and hold on sustaining above/below the highlighted green/red level for next targets

For this month :

• Bank Nifty longs will get confirmed with a consecutive close above 22835 for a initial target of 24210 - 24560 and sustaining / closing above 24560 we can see a further move till 25740 - 27040 .  

• Bank Nifty shorts will get confirmed with a consecutive close below 20235 for  a initial target of 18860 - 18515 and sustaining / closing below 18515 we can see a further move till 17330 - 16030.

We had mentioned that longs should be cautious around the resistance levels of 22080 and we saw Nifty make a high of 21967 in the previous weeks coming close to it. 

Bank Nifty had triggered our monthly shorts and completed our initial targets with a low of 18287 giving 1900+ points . Had mentioned to book once initial targets are done . Now for a fresh short we need Bank Nifty to close below 18430 this week else holding the low of 18287 we can expect a bounce again towards 19315 - 19610 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.