Good evening everyone!
After a more of a sideways and range-bound market, we saw a fall in BANKNIFTY and some profit booking in NIFTY from higher levels.
We have also witnessed a fall or should i say a profit booking in the US markets. An eventful week ahead of us letโs plan the whole week.
We will be reviewing -
NIFTY
BANKNIFTY
NIFTY IT
WIPRO
NIFTY
The pullback rally has successfully completed its target i believe. Most of the players must have covered their longs and now wait for the confirmation. The important contribution came from NIFTY IT & RELIANCE on expiry day and Friday.
As of today 16700-16800 is the big resistance. On the lower side 16440-16420 is a levels from which NIFTY bounced. Thereโs a gap in NIFTY till 16351. So thereโs a possibility of that gap getting filled by NIFTY.
It will be crucial for NIFTY to hold 16300 which makes a bigger range to play in NIFTY,16300 to 16700. For me a break of any of these levels will be an opportunity for new positional trade. Meanwhile scalp it accordingly.
BANKNIFTY
I just donโt like the size and colour of that last candle. A bearish engulfing, closed below 5 days lows. At the same time near a very important support zone. If we open gap down we might see a continue sell off again. 35500 now becomes resistance 1. Sell on rise for me in BANKNIFTY as of this structure. Break 36000 we can plan long, break 34800 we can plan shorts.
Constituents which are showing fresh weakness is SBIN, AXIS & KOTAK BANK. Any weakness in HDFC & ICICI BANK will be positive for bears.
NIFTY IT
An interesting thing happened on NIFTY ITโs weekly chart. Made a green candle after a decent doji. It will be important for NIFTY IT to sail pass 31000 to confirm that reversal. But NASDAQ had a 300 points cut before Friday closing so be cautious on your IT longs.
WIPRO
If NIFTY IT is about to start its recovery my bet will be on this big guy. WIPRO, almost similar chart as NIFTY IT index. Do add it in dips and breakout above 500 will trigger spike in this one.
Please consider all the trades with fixed stoploss.
Thatโs it from myside guys see you in the next one.
Adios!