Bank Nifty Forms Doji Near 50 SMA, 26 June Analysis

By | June 24, 2023 2:08 pm

Foreign Institutional Investors (FIIs) displayed a Bullish approach in the Bank Nifty Index Futures market by Buying 5510 contracts worth 529 crores, resulting in a increase of 5284 contracts in the Net Open Interest.

As Discussed in Last Analysis

Bank NIfty had a wild day today with both BUlls and Bears got stopped out as Bank Nifty broke first 15 mins High and low. On Daily Basis bank nifty formed an Outside bar pattern and another failed attempt to close above 20 DMA. On 26 we have very important Lunar Cycle so we should see a 500-800 points move in next 2 trading session. We also have Venus Opposition Mercury HELIO which is very important aspect for short term trading.

Nifty is heading towards 18604 which was previous all time high so it will act as support. ANy break of 18635-18604  range can lead to sharp dip towards 18413-18385 range. Monday we have very important Lunar Cycle which can lead to big move.

If the low price for the entire week is achieved on Friday, expect a much lower price next week. Nifty closing at the low of the week.Monday very imp Lunar Cycle can see a big move !! Direction first 15 mins High and Low.

Nifty has closed below Saturn Retrograde Low and Summer Solstice low Suggesting weakness is on the charts

 

 

 

Bank Nifty Trade Plan Based  Bulls will get active above 43950 for a move towards 44070/44194/44318/4442. Bears will get active below 43698 for a move towards 43575/43451/43327/43203– —Bears did 1 target on downside waiting for 43451/43327/43203

 

Traders may watch out for potential intraday reversals at 09:30,10:47,12:37,2:25 How to Find and Trade Intraday Reversal Times

Bank Nifty June  Futures Open Interest Volume stood at 20.7 lakh, addition of 0.21 lakh contracts. Additionally, the increase in Cost of Carry implies that there was a addition of SHORT positions today.

Bank Nifty Advance Decline Ratio at 2:10 and Bank  Nifty Rollover Cost is @43908 and Rollover is at 72.2%

Major Resistance for Bank Nifty us at 43956 which is 20 SMA,Major Support at 43508 @ 50 SMA.

Traders who follow the musical octave trading path may find valuable insights in predicting Bank Nifty’s movements. According to this path, Bank Nifty may follow a path of 42127-43344-44634 . This means that traders can take a position and potentially ride the move as Bank Nifty moves through these levels. Of course, it’s important to keep in mind that trading is inherently risky and market movements can be unpredictable. 

According to the Bank Nifty options chain, the call side has the highest open interest (OI) at the 43800 strike, followed by the 44000 strike. On the put side, the 43500 strike has the highest OI, followed by the 43300 strike. This indicates that market participants anticipate Bank Nifty to stay within the 43500-44000 range.

The Bank Nifty options chain shows that the maximum pain point is at 43700 and the put-call ratio (PCR) is at 1.07. Typically, when the PCR open interest ranges between 0.90 and 1.05, the market tends to remain range-bound. PCR is on extreme end suggesting we can see sharp reversal .

Fundamental of Trading : 1. Proper preparation 2. Hard work 3. Patience 4. A detailed plan before every trade 5. Discipline 6. Trade Journal 7. Replaying important trades

For Positional Traders, The Bank Nifty Futures’ Trend Change Level is At 44079 . Going Long Or Short Above Or Below This Level Can Help Them Stay On The Same Side As Institutions, With A Higher Risk-reward Ratio. Intraday Traders Can Keep An Eye On 43897 , Which Acts As An Intraday Trend Change Level.

Intraday Trading Levels

Buy Above 43671 Tgt 43791, 43960 and 44096 (Nifty Spot Levels)

Sell Below 43486 Tgt 43351, 43182 and 43040 (Nifty Spot Levels)

Wishing you good health and trading success as always.As always, prioritize your health and trade with caution.

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