NIFTY BANKNIFTY OUTLOOK & OPTION CALL PUT TIPS FOR 4 OCTOBER 2022

FOR GETTTING LIVE TRADING TIPS FOR MONDAY 4 OCT 2022 WHATSAPP YOUR NAME & SEGMENT ON 9039542248

Markets started the week on a weak note, losing over a percent, following weak global signals. After starting flat, the Nifty gradually fell lower over the course of the session, leveling off around the daily low to close at 16,887. After a smart rebound in the previous session (Friday), the market came under renewed selling pressure on Monday 3rd October. Indian benchmark indices closed negative with the Nifty closing below 16900 amid weak global hints and selling in all sectors except pharma. At the close, the Sensex was up 638 points at 56788 and the Nifty was up 207 points at 16887. Global markets are expected to remain under pressure due to the combination of an unfavorable economic outlook and investors' risk aversion. Global markets suffered from the projected slowdown in economic data as indicated by high-frequency indicators in European regions such as India's manufacturing PMI edged down to 55.1 in September as demand slowed. As a result, all key sectors except pharmaceutical and oil stocks came under selling pressure. 

Nifty closed the day as per the inner day pattern. The inside day pattern is generally considered to be a trend continuation pattern. Today's internal daily pattern position is below the previous swing low at 17200. The daily candle was also a red candle to close at the bottom of the range. Configuration is down as the overall trend on Nifty is down. Nifty also traded and closed below the Fib retracement at 16950. MACD is in a sell mode and prices are trading below key supports. Expect the Nifty to trade to 16800 and below to 16500 over the next few trading sessions. Volatility is high and the current boost should be used as a selling opportunity by traders. Bank Nifty is in bearish mode for short-term traders. It is currently at the support of a rising trend line. For the day, BNF has created an inner daily pattern. Inside days are typically short-term trend continuation patterns. Therefore, we can expect BNF to trade lower towards 37000-36800 in the next few days. Trend following indicators are showing bearishness in the market and we could see selling intensify over the next few days. In the next few days, the index is likely to drop below 36500 and more declines could be imminent. On the upside, the main resistance stands at 38500 , and for further upside, banknifty has taken out 37000. The index is currently declining.

Resistance: 17000, 17250, 17500

Support: 16800, 16750, 16500