From the last couple of weeks, Bank Nifty traded weak as compare
to Nifty Index . IT, Pharma, Auto, and Metal may lead the market for the
further upside rally but be cautious in banking stocks at lower levels or near
to support level.
Last week, Nifty 50 closed 2.08
percent lower as financial stocks underperformed. Heavyweight Reliance too
corrected a little bit and in results, Nifty Index settled lower on a weekly
basis.
Weekly & Intraday Technical
View on Nifty and Bank Nifty
Upcoming week Nifty 50 price may consolidate from 10856 on the
downside to 11165 on the upside. 3rd wave stands at 11030 will play
immediate support. Any closing below 11000 may extend its correction to 10861 and
medium-term support will lie on 10850 marks where stands on a 60-minute chart. An index is likely to follow all the above-mentioned
levels in the upcoming week.
Nifty Implied Volatility also
consolidated for most of the week and closed marginally lower. PCR shifted its
support to 11000. Lower NIFTY IV and Higher PCR indicate supports for the
market.
Technically, Index price has
been trading in a range of 300 points from 11040-11350, either side move will
give the next 200-250 points in the respective direction.
Trend: Support down at 11000,
Closing below 11000 may extend its down move to 10920-10850. Above 11100 is may
test 11200-11340.
Nifty strategy for
the week
Support 11000, Resistance 11200
Either side of close will give the next 100-150 points in the respective
direction.
Bank Nifty
Financial index Bank Nifty
closed down 4.51% at a weekly level.
Technical View
Price has recovered with the “Double Bottom” bullish price pattern
on a daily scale, which indicates a target of 23500 in upcoming trading
sessions. Immediate resistance down at 23100. Trading above 23100 will lead it
for 23300-23500, Else it may test 21300 marks. Trading below 21300 may correct
it further for 20800-20100.
Bank Nifty strategy
for the week
Support 21300, Resistance 23100
Likely to consolidate in a
range.
