BANKNIFTY MAY TREND ANALYSIS
Updated
Since my last idea got banned I am reposting my Bank Nifty study again.
The Bank Nifty went exactly as per our study and started trading bearish.
Previous idea posted on 29th April - With mixed global cues and increase and COVID cases, Nifty and Bank Nifty went Bullish over the last week and gave some positive movements. On a day chart the Bank Nifty looks to be a Head and Shoulder pattern. After yesterday's bullish expiry the Bank Nifty couldn't break 0,618 on Fibonacci Retracement chart and traded below the pivot of 0.5. Over the weekend considering company results, news of election and lockdown if Bank Nifty starts trading below 0.382 levels of Fibonacci i.e 32651 then we can see some bearish move till 31561 as a support range. On the other hand if Bank Nifty trades above the 0.5 pivot of 33532 and closes above the pivot then you can expect a bullish move till 0.618 levels of 35667.
You can always do back testings on Day/Week/5min charts as per your experience and track the Bank results to have a stronger view before taking any trade.
This is just my personal study and analysis. Do not trade on the basis of just my study. Do your own research as well.
The Bank Nifty went exactly as per our study and started trading bearish.
Previous idea posted on 29th April - With mixed global cues and increase and COVID cases, Nifty and Bank Nifty went Bullish over the last week and gave some positive movements. On a day chart the Bank Nifty looks to be a Head and Shoulder pattern. After yesterday's bullish expiry the Bank Nifty couldn't break 0,618 on Fibonacci Retracement chart and traded below the pivot of 0.5. Over the weekend considering company results, news of election and lockdown if Bank Nifty starts trading below 0.382 levels of Fibonacci i.e 32651 then we can see some bearish move till 31561 as a support range. On the other hand if Bank Nifty trades above the 0.5 pivot of 33532 and closes above the pivot then you can expect a bullish move till 0.618 levels of 35667.
You can always do back testings on Day/Week/5min charts as per your experience and track the Bank results to have a stronger view before taking any trade.
This is just my personal study and analysis. Do not trade on the basis of just my study. Do your own research as well.
Note
The postpone of IPL, negative news of lockdown in the market and selling pressure from the top resulted in Bank Nifty trading sideways. It broke our 32449 support at 0.382 of Fibonacci retrace and tomorrow can be expected as a gap-down opening.Hope you enjoyed and booked profits based on my study.
Please share and support if you liked our study.
Note
The BANKNIFTY is still trading within our Head and Shoulder pattern and just at the breakout spot. If on Monday it starts trading and closes above 33369 i.e. 0.5 of Fibonacci then we can expect an upward movement. Amidst global news and increasing cases of COVID if it starts trading and closes below 32449 i.e. 0.382 of Fibonacci then we can expect more bearish movement. If the BANKNIFTY trades between 0.5 - 0.382 in consolidation then avoid taking trades as you may not get good targets and premium erosion will be there for sure.
Trade safe.
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