Comments
Bank Nifty futures (44,700)
Bank Nifty opened almost flat today at 45,057.95 as against yesterday’s close of 45,082.40. The index is now hovering around 44,680, down 0.9 per cent.
The advance/decline ratio gives it a bearish bias as it stands at 4/8. IndusInd Bank, up 1 per cent, is the top gainer whereas AU Small Finance Bank, down 3 per cent, is the top loser.
The public sector banks seem to be outperforming their private sector peers. Thus, Nifty PSU Bank index has advanced 0.5 per cent whereas Nifty Private Bank index is down 0.8 per cent.
Bank Nifty futures
Bank Nifty futures (January expiry) began today’s session lower at 45,096.90 versus yesterday’s close of 45,152.85. The contract is now trading at 44,700, down 1 per cent.
The contract has a support at 44,500. However, given the downward momentum, we expect this support to be breached. Following this, Bank Nifty futures could fall to 44,000.
On the other hand, if the contract recovers from here, it will face barrier at 44,800 and 45,000.
Trading strategy
Given the current chart set up, traders can sell Bank Nifty futures now at 44,700 and add shorts if it moves up to 44,800. Place stop-loss at 45,000.
When the contract falls below 44,400, alter the stop-loss to 44,600. Book profits at 44,200.
Supports: 44,500 and 44,000
Resistances: 44,800 and 45,000
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.