Mercury in Leo : Bank Nifty 13 Aug 2024 Trade Plan

By | August 13, 2024 9:11 am

Foreign Institutional Investors (FIIs) exhibited a Bullish Stance in the Bank Nifty Index Futures market by Buying 1237 contracts with a total value of 94 crores. This activity led to a decrease of 2239 contracts in the Net Open Interest.

As Discuused in Last Analysis

Bank Nifty has formed an DOJI  candle on a day when both the Gann 45-day cycle and Bayer’s Rule are converging. Tomorrow, we are expected to open with a gap up, continuing the alternating pattern of gap ups and gap downs since Monday. Bulls need a close above 50500 to push for an upmove towards 50729/51000. On the other hand, bears need a close below 49800 . With tomorrow being a weekly close, 50586 would be an ideal level for the market to settle at.

Bank Nifty is struggling to close above its last week’s high of 50747  and the Gann monthly trend change level of 51339 . Today, we have Mercury Ingress as retrograde Mercury moves into the Leo zodiac sign. Leo, being a fire sign, suggests that a trending move is possible within the next two days. Since Mercury is a short-term planet, it is likely to cause a short-term trend change. For intraday trades, keep an eye on the first 15 minutes’ high and low to capture the trend for the day.

Bank Nifty Trade Plan for Positional Trade ,Bulls will get active above 50773 for a move towards 50996/51219  . Bears will get active below 50327 for a move towards 50104/49800

Traders may watch out for potential intraday reversals at 09:15,12:36,01:25,02:44  How to Find and Trade Intraday Reversal Times

Bank Nifty Aug Futures Open Interest Volume stood at 28.1 lakh, with liquidation of 0.84 lakh contracts. Additionally, the increase in Cost of Carry implies that there was a closure of SHORT positions today.

Bank Nifty Advance Decline Ratio at 04:08 and Bank  Nifty Rollover Cost is @51740 closed above it.

Bank Nifty Gann Monthly  Trade level :50923 closed below it.

Bank Nifty closed below 20/50 SMA @51048 Trend is Sell on Rise

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 48819-50271-51724-53263. 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 50600 strike, followed by the 51000 strike. On the put side, the 50200 strike has the highest OI, followed by the 50000 strike.This indicates that market participants anticipate Bank Nifty to stay within the 50200-50500 range. 

The Bank Nifty options chain shows that the maximum pain point is at 50500 and the put-call ratio (PCR) is at 0.96. 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 .

Your losing trades do not diminish you as a person. You are not your losing trades. You are also not your winning trades either. They are simply by-products of the business that you’re in.

For Positional Traders, The Bank Nifty Futures’ Trend Change Level is At 50878 . 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 50262 , Which Acts As An Intraday Trend Change Level.

BANK Nifty Intraday Trading Levels

Buy Above 50500 Tgt 50666, 50864 and 51000 ( BANK Nifty Spot Levels)

Sell Below 50300 Tgt 50166, 50001 and 49837 (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.

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