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Bank Nifty November futures (43,690)
The Bank Nifty index is trading lower at 43,540, down 0.35 per cent. The advances/ declines ratio is at 5:7, which indicates broad weakness in the index.
Outlook
On the charts, the picture is weak. The Bank Nifty index has failed to rise past 43,800 and has been coming down. The outlook is bearish to see a fall to 43,250-43,150 in the coming sessions.
Bank Nifty futures
The Bank Nifty November futures (43,690) is down 0.23 per cent. Strong resistance is at 43,900. The outlook is bearish to see a fall to 43,550-43,500. A break below 43,500 can drag the contract further lower to 43,200 in the coming sessions.
The downside pressure will ease only if the Bank Nifty futures contract moves above 43,900. In that case, a rise to 44,000 can be seen. However, to turn the outlook bullish, the contract has to breach 44,000 decisively.
Trade strategy
Traders can go short now. Accumulate on a rise to 43,780. Keep a stop-loss at 43,840. Trail the stop-loss down to 43,760 as soon as the contract falls to 43,710. Move the stop-loss further lower to 43,660 when the contract touches 43,610 on the downside. Exit the short positions at 43,520.
Supports: 43,500, 43,200
Resistances: 43,900, 44,000
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