Bank Nifty Rallies 500+ point on Gann Date, 08 Sep Trade Plan

By | September 8, 2023 12:14 am

Foreign Institutional Investors (FIIs) exhibited a Bullish stance in the Bank Nifty Index Futures market by Buying 11582 contracts with a total value of 782 crores. This activity led to a reduction of 3684 contracts in the Net Open Interest.

As Discussed in Last Analysis

Bank Nifty has once again bounced from its 100-day moving average (DMA), and the price is approaching the time cycle date mentioned on the Gann angle chart for September 7th. As long as the price remains below the range of 44666-44700, the bears, especially with Jupiter in retrograde, have the upper hand. If the price closes below 44300 , this could lead to a sharp decline toward the 44000/43800 level.

Bulls, on the other hand, have an opportunity for a bullish scenario if the price manages to close above 44729 . However, within the range of 44300-44700 , expect choppy and volatile market moves.

Low made  was 44341 so Bears were unable to break 44300  and Bulls were able to close above 44700 and saw a decent rally, Price gave a perfect bounce from Gann Date as discussed yesterday, Now Bulls need a 1 Hour close above 45000 for a move towards 45183/45394. Bears have lost the chance as they failed to close below 44300.

 

Bank Nifty Trade Plan for Positional Trade Bulls will get active above 44458 for a move towards 44668/44877/45086. Bears will get active below 44249 for a move towards 44040/43830. — Waiting for 45086

Traders may watch out for potential intraday reversals at 10:21,12:24,2:19 How to Find and Trade Intraday Reversal Times

Bank Nifty Sep Futures Open Interest Volume stood at 20.2 lakh, liquidation of 5.2 lakh contracts. Additionally, the increase in Cost of Carry implies that there was a covering of SHORT positions today.

Bank Nifty Advance Decline Ratio at 11:1 and Bank  Nifty Rollover Cost is @44639 closed above it. 

Bank Nifty 50 DMA @ 44850 closed above it short term bullish

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 43444-44634-45923 . 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.  Price has closed above 44634 

According to the Bank Nifty options chain, the call side has the highest open interest (OI) at the 45000 strike, followed by the 45300 strike. On the put side, the 44800 strike has the highest OI, followed by the 44500 strike.This indicates that market participants anticipate Bank Nifty to stay within the 44800-45500 range. Total Call OI is 2.15 cr and Total Put OI is 2.37 cr

The Bank Nifty options chain shows that the maximum pain point is at 44400 and the put-call ratio (PCR) is at 0.9. 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 .

Trading requires discipline, humility, and a willingness to learn from others, and disrespecting the market would only result in the market not respecting him back.

For Positional Traders, The Bank Nifty Futures’ Trend Change Level is At 44660. 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 44837, Which Acts As An Intraday Trend Change Level.

Bank Nifty Intraday Trading Levels

Buy Above 44920 Tgt 45050, 45200 and 45343 (Bank Nifty Spot Levels)

Sell Below 44790 Tgt 44666, 44512 and 44385 (Bank Nifty Spot Levels)

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

As always, it’s essential to closely monitor market movements and make informed decisions based on a well-thought-out trading plan and risk management strategy. Market conditions can change rapidly, and it’s crucial to be adaptable and cautious in your approach.

Leave a Reply