Saturday, August 4, 2018

BANKNIFTY WEEKLY PREDICTION & CHART FOR 06 AUG TO 10 AUG 18

WEEKLY RESISTANCE FOR BANKNIFTY :27900,28000,28100
 PIVOT POINT: 27500
WEEKLY SUPPORT FOR BANKNIFTY:  27400,27300,27200
WEEKLY CHART FOR BANKNIFTY

DAILY RESISTANCE FOR BANKNIFTY: 27835,27875,27900
PIVOT POINT:27600
DAILY SUPPORT FOR BANKNIFTY :  27525,27425,27375
DAILY CHART FOR BANKNIFTY

The banknifty future started trading for the week with a positive bias. Post consolidating for a couple of hours, the index resumed its positive momentum and rallied higher throughout the session to register gains of three-fourths of a percent. On Monday banknifty future has closed at 27854. On Tuesday, the Nifty Bank index opened marginally negative and traded within its previous day's range to end the day with a marginal loss & closed at 27811. On Wednesday during the initial half of the day, the Nifty Bank index traded in a narrow range as the market participants awaited the outcome of the RBI policy. At 2.30 p.m., the monetary policy committee announces its decision to hike the repo & reverse repo rates by 25 bps. The Nifty Bank index reacted negatively on the announcement and corrected marginally to end the day with a loss of 0.60% at 27672. On Thursday the Nifty Bank index opened on a negative note and continued the negative momentum throughout the session. The index eventually ended the day near the low point of the day with a loss of 0.87 percent at 27776. On Friday is has shown some start recovery banknifty future has started at 27510 made a high of 27800 and low of 27475 & closed the week at 27786 up by 336 points.
In last past week, The Nifty Bank index has shown some resilience to cross the 27900 - 28000 range in last three trading session. This range coincides with a rising trend line resistance and 161.8% retracement of the recent corrective move. However, there are no signs of trend reversal on the charts and thus, this minor correction from the mentioned resistance just seems o be a correction within an uptrend. Hence, we advise traders to avoid creating any short positions and use declines as buying opportunities. The near-term support for the index is placed around 27350; whereas resistance is seen in the above mentioned range of 27900-27950; above which the index should rally beyond the 28000 mark.

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