Bank Nifty Forms Double NR7 Pattern, 07 Feb Weekly Expiry Analysis

Foreign Institutional Investors (FIIs) exhibited a Bearish stance in the Bank Nifty Index Futures market by Shorting 9869  contracts with a total value of 681 crores. This activity led to a increase of 3517 contracts in the Net Open Interest.

As Discussed in Last Analysis

Bank Nifty formed lower low and formed an NR7 pattern, Price is near its 100 DMA @45420 and Octave Point 45370. 45420-45370 is imporant Demand Zone. Break of 45350 can see a fall towards 45000/44554. Merucry Ingress Combined with NR7 pattern is a powerful combo so get ready for a big move in Bank NIfty.

Bank Nifty has formed Double NR7 pattern and took support at Octave Point @45370. Price is holding both 100 SMA Octave point and closed above Mercury Ingress low, WIth RBI Policy on 08 Feb price can consolidate more in mercury ingress range before making decisive move  above  46058 on upside or 45615 on downside. IN Between see saw will continue.

Bank Nifty Trade Plan for Positional Trade ,Bulls will get active above 46050 for a move towards 46265/46482/46698. Bears will get active below 45615 for a move towards 45398/45181/44964

Traders may watch out for potential intraday reversals at 10:13,11:31,12:13,2:07 How to Find and Trade Intraday Reversal Times

Bank Nifty Feb  Futures Open Interest Volume stood at 30 lakh, with addition of 2.1 lakh contracts. Additionally, the decrease in Cost of Carry implies that there was a addition of LONG positions today.

Bank Nifty Advance Decline Ratio at 04:08 and Bank  Nifty Rollover Cost is @45685 closed above it. 

Bank Nifty Gann Monthly  Buy Trade level : 46450 and Gann Monthly  Sell Trade level : 45879 — Closed below it.

Bank Nifty  has closed above its 200/100 DMA but failed closed 50/20 DMA. Trend is Sell on Rise till we close above 46250.

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 43344-44634-45923. 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 is near 47265

According to the Bank Nifty options chain, the call side has the highest open interest (OI) at the 46000 strike, followed by the 46300   strike. On the put side, the 45800 strike has the highest OI, followed by the 45500 strike.This indicates that market participants anticipate Bank Nifty to stay within the 45500-46000 range. 

The Bank Nifty options chain shows that the maximum pain point is at 45800 and the put-call ratio (PCR) is at 0.90 . 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 .

If you want to be a good trader “Be the Best Listener.” Listen To Market, Experienced Traders. If a losing trade sets you off, then this can affect your trades going forward. And this is dangerous. We call this trading on “tilt.”

For Positional Traders, The Bank Nifty Futures’ Trend Change Level is At 45912 . 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 45952 , Which Acts As An Intraday Trend Change Level.

BANK Nifty Expiry Range

Upper End of Expiry : 46067 

Lower End of Expiry : 45312

 

BANK Nifty Intraday Trading Levels

Buy Above 45800 Tgt 45920, 46040 and 46225 (BANK  Nifty Spot Levels)

Sell Below 45610 Tgt 45500, 45385 and 45212 (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.