Bank Nifty - Crucial couple of days ahead

Bank Nifty having broken down the rising wedge has the potential to chase the lower side of the parallel channel. In that journey, what we hope today and tomorrow is that it takes support and reverses around 20500 because a fall from those levels can see it dive to 19000 which would also bring Nifty50 down to 10400-10500.

Basically the price has been moving within the parallel channel but Divergence and Wedge were added here to explain clearly what the market is communicating via indicators and price action and how to spot reversals.

Comment:

So Bank Nifty didn't disappoint. Let's see how it closes this week. Hopefully a weekly close above 21850 would establish a good support.

Comment:

It didn't breakdown. Will ride the channel with its support at 21687