Bank Nifty opened today’s session with a gap-up at 44,445 versus Thursday’s close of 44,301. The index moved up further post-open and is now at 44,580, up 0.6 per cent.
Substantiating the bullish bias, the advances/ declines ratio stands at 11/1. Bandhan Bank and Bank of Baroda are the top gainers, up 2.6 and 1.6 per cent, respectively. Axis Bank, down 0.2 per cent, is the top loser.
Bank Nifty futures
The October Bank Nifty futures opened today’s session higher at 44,780 versus yesterday’s close of 44,605. It is currently trading around 44,865.
The price band of 44,350-44,500 is a good support band, which seems to be restricting the decline. At the same time, there is a resistance at 45,000.
The prevailing price action indicates that the direction of the break of the 44,350-45,000 range will show us the direction for the next leg of trend.
Resistance above 45,000 is at 45,200 and 45,350; support below 44,350 is at 44,000 and 43,800.
At the current level, the risk-reward ratio is unfavourable for both long and short positions. Hence, we suggest staying out for intra-day.
Traders can consider fresh trades along the direction of the break of the 44,350-45,000 range.
Supports: 44,500 and 44,350
Resistance: 45,000 and 45,200