Bank Nifty likely to go lower or roar its was towards 19400
Last week saw a run up in Bank Nifty from 18600 level to test 19125 and close at 18953. Unless there is a liquidity driven rally world over and in the Indian markets, this week seem to be a correction week. In case of rally it will test 19400 level but is unlikely to close above it. Bull rally for the week confirms after 19076 on Monday-Tuesday or a 19125 close later.
But with poor data show from Axis, ICICI there isn't any fundamentals pushing the index higher and moreover, above 19100 seems to be in the higher than upper end of the upward sloping long term trend line. On the lower side immediate support is 18860 and this week will test 18700/600 or 18400 depending on the week sets out on Monday-Tuesday.
With the GST on the cards it most probably will be a correction early on in the week with bounce back at the end but still lower than this week.
But with poor data show from Axis, ICICI there isn't any fundamentals pushing the index higher and moreover, above 19100 seems to be in the higher than upper end of the upward sloping long term trend line. On the lower side immediate support is 18860 and this week will test 18700/600 or 18400 depending on the week sets out on Monday-Tuesday.
With the GST on the cards it most probably will be a correction early on in the week with bounce back at the end but still lower than this week.
Comment:
Like Nifty, Bank Nifty too traced the entire expected range for the week. It tested 19075 on the upside and 18600 on the downside but closed below 18860. 18860 is going to be the resistance for today followed by 19000 &19075 in case of a pullback driven by positive US market close and GST expectations. If it continues to correct we can expect 18400 levels today confirming a further correction to 18200-18000.