Bank Nifty futures (48,020)

Bank Nifty opened today’s session with a gap-up at 48,086 versus yesterday’s close of 47,624. But the index gave away some of the gains and is now trading around 47,850, up 0.4 per cent.

The advance/decline ratio stands at 8/4, giving the index a bullish inclination. AU Small Finance Bank, up 5.5 per cent, is the top gainer, whereas IndusInd Bank, down 1.8 per cent, is the top loser.

Broadly, the private banks are doing well today. Nifty Private Bank, up 0.6 per cent, is the top sectoral index so far today, whereas Nifty PSU Bank has lost 0.25 per cent.

Bank Nifty futures

Bank Nifty April futures began today’s session higher at 48,185 compared to yesterday’s close of 47,912. It is currently hovering around 48,020, up 0.2 per cent.

Even though Bank Nifty futures are now above 48,000-mark, the price drop in the first hour of trade and a trendline resistance are making the path difficult for the bulls. Notably, the contract fell off the minor resistance at 48,320.

Given the above factors, Bank Nifty futures might slip below 48,000 and dip to 47,750 today. A breach of this can drag the contract to 47,500.

Overall, there are resistance and support levels nearby from the current level and the intraday price action so far does not give a clear direction for the rest of the day.

Trading strategy

As there is a lack of clarity with respect to trend, traders can stay away from initiating fresh trades at this juncture.

Supports: 47,750 and 47,500

Resistances: 48,320 and 48,600