Comments
Bank Nifty closed flat yesterday. But it has opened today’s session with a gap-up at 44,706 versus Tuesday’s close of 44,495. Currently trading at 44,675, the index is up 0.4 per cent. The chart shows that Bank Nifty is bullish for today.
In line with the bullish bias, barring Bandhan Bank, down by 0.9 per cent, all other banks in the index have advanced. IDFC First Bank and Axis Bank, up 1.7 and 1.3 per cent, respectively, are the top gainers.
Nifty Private Bank has appreciated 0.6 per cent whereas Nifty PSU Bank has gone up by nearly 0.5 per cent.
Bank Nifty futures
The August contract opened today’s session higher at 44,636 versus yesterday’s close of 44,500. While it marked a high of 44,781 during the first hour of trade, the contract is now hovering around 44,650.
Also read
There is a considerable support band between 44,600 and 44,500. So, a drop below these levels is unlikely today. Even if there is a decline to this price band, buyers are expected to , eventually lift the contract.
Bank Nifty futures has potential to rally to 45,000, a resistance. Above this, the nearest hurdle is at 45,200. On the other hand, if the support at 44,500 is breached, the contract can decline to 44,300.
Trading strategy
Go long on Bank Nifty futures now at around 44,650. Add more longs if the price drops to 44,500. Place stop-loss at 44,300 at first.
When the contract moves above 44,850, tighten the stop-loss to 44,680. Book profits at 45,000.
Supports: 44,600 and 44,500
Resistance: 45,000 and 45,200
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.