FIIs Maintain Bullish Stance in Bank Nifty Futures – April 28, 2024
Foreign Institutional Investors (FIIs) continued to show a bullish bias in the Bank Nifty Index Futures segment, buying 2,369 contracts worth ₹392 crore. However, this activity was accompanied by a net open interest (OI) decrease of 1,075 contracts, indicating that the buying was primarily driven by short covering and position adjustment rather than aggressive new longs.
Key Data Highlights:
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Contracts Bought: 2,369
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Notional Value: ₹392 crore
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Net OI Change: -1,075 contracts
Interpretation:
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Decrease in OI combined with net buying suggests that FIIs covered shorts and adjusted their existing positions, rather than building large fresh longs.
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This is a cautious bullish move, signaling that FIIs are maintaining optimism, but are also managing risk ahead of the monthly close and ongoing global uncertainties.
Trading Consistency & Discipline: Key to Long-Term Success
As Discussed in Last Analysis
Bank Nifty reacted sharply from its Gann angle resistance zone, closing below the Outside Bar low, confirming a short-term bearish reversal. The price action also aligned perfectly with Gann number levels and the ongoing astro time cycle, highlighting the confluence of price and time — a key principle in Gann and astro trading.
Astro Update – New Moon Today
Today marks a New Moon, an important astro event often associated with trend reversals or strong directional moves.
With the monthly closing coming next week, the stakes are even higher:
Key Technical Levels to Watch
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Critical Support : 54,467 (Previous All-Time High)
→ Bulls must protect this level to regain momentum. -
Breakdown Zone: Below 54,467
→ Fresh short positions can be initiated only if Bank Nifty breaks and sustains below 54,467, signaling a deeper correction.
Geopolitical Risk – War Impact on Markets
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With geopolitical tensions on the rise globally, markets are highly sensitive to external shocks.
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As discussed in the video linked below, wars and conflicts historically cause spikes in volatility, flight to safe-haven assets, and rotation out of riskier equities.
✅ It’s crucial to stay nimble and well-hedged in such environments.
Bank Nifty delivered a strong recovery, fully reclaiming the losses from Friday’s fall. The New Moon event, often associated with trend changes, played out perfectly, signaling fresh bullish momentum.
Key Positive Developments:
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Price Action:
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Closed above Friday’s High, confirming a strong bullish reversal.
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Reaffirmed the importance of astro-time cycles in capturing turning points.
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Fundamental Boost:
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RBI announced a ₹1.25 lakh crore liquidity injection for May.
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This is extremely positive for Banking and NBFC stocks, potentially driving further upside.
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️ Technical Outlook for Bank Nifty:
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Immediate Target:
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Price is now set to test and potentially break the recent high at 56,098.
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Breakout Confirmation:
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Sustaining above 55,555 could trigger the next rally leg toward 56,000–56,500 levels.
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Support Zone:
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55,000–54900 remains the key support for bulls to defend.
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When Price, Time (New Moon), and Event (RBI liquidity move) align, markets tend to move explosively — today’s Bank Nifty rally is a textbook example of that principle.
Bank Nifty Trade Plan for Positional Trade ,Bulls will get active above 55155 for a move towards 55626/56098. Bears will get active below 54686 for a move towards 54219/53755 — Waiting for 55626/56098
Traders may watch out for potential intraday reversals at 10:03,10:58,12:35,01:58 How to Find and Trade Intraday Reversal Times
Bank Nifty May Futures Open Interest Volume stood at 24.6 lakh, with addition of 0.45 lakh contracts. Additionally, the Increase in Cost of Carry implies that there was a addition of LONG positions today.
Bank Nifty Advance Decline Ratio at 12:00 and Bank Nifty Rollover Cost is @55480 closed above it.
Bank Nifty Gann Monthly Trade level :52348 closed above it.
Bank Nifty closed above 200 SMA @52632,Trend is Buy on Dips once above 54872
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 53707-55304-56734. 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 55500 strike, followed by the 56000 strike. On the put side, the 54500 strike has the highest OI, followed by the 54000 strike.This indicates that market participants anticipate Bank Nifty to stay within the 55000-56000 range.
The Bank Nifty options chain shows that the maximum pain point is at 54500 and the put-call ratio (PCR) is at 0.99 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 is not about being right—it’s about managing risk. Doubling down is the arrogance of certainty meeting the brutality of randomness. The market doesn’t care about your conviction; it only respects survival.
For Positional Traders, The Bank Nifty Futures’ Trend Change Level is At 55256 . 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 55466, Which Acts As An Intraday Trend Change Level.
BANK Nifty Intraday Trading Levels
Buy Above 55555 Tgt 55729, 55900 and 56108 (BANK Nifty Spot Levels)
Sell Below 55315 Tgt 55196 , 55008 and 54850 (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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