Overview:
Similar to NIFTY, BANKNIFTY exhibited a strong recovery from lower levels in the previous trading session, closing above a key resistance zone. Today's plan examines potential scenarios post-initial relief rally.
Gap Up Opening:
If BANKNIFTY opens with a gap above 47950, anticipate sideways movement between 48109-47977. A drop below 47950, followed by sustained trading, could signal a retracement towards 47741-47690. Further downside could be expected below 47690, with potential targets at 47468. Conversely, a breakout above 48120 may lead to further gains towards 48274 and 48418, with possible profit booking.
Flat Opening:
A flat opening might see BANKNIFTY finding support around 47690 and trading higher towards 47741, with resistance at 47977-48109. Conversely, a breakdown below 47690, sustained below 47650, could indicate a retracement towards 47468 and 47164, with the latter presenting a strong buying opportunity.
Gap Down Opening:
If BANKNIFTY opens with a gap below 47600 but recovers above 47650 within the first hour, consider a buy trade targeting 47977-48000-48109. However, if prices remain below 47650, anticipate a drop towards 47468 and potentially 47164.
Conclusion:
BANKNIFTY's trading plan for May 14, 2024, outlines potential scenarios based on different opening conditions. Traders should carefully evaluate market dynamics and implement appropriate risk management strategies.
Disclaimer:
This trading plan is provided for informational purposes only and should not be considered as financial advice. Trading in financial markets carries inherent risks, and individuals should conduct their own research or consult a financial advisor before making investment decisions.
Similar to NIFTY, BANKNIFTY exhibited a strong recovery from lower levels in the previous trading session, closing above a key resistance zone. Today's plan examines potential scenarios post-initial relief rally.
Gap Up Opening:
If BANKNIFTY opens with a gap above 47950, anticipate sideways movement between 48109-47977. A drop below 47950, followed by sustained trading, could signal a retracement towards 47741-47690. Further downside could be expected below 47690, with potential targets at 47468. Conversely, a breakout above 48120 may lead to further gains towards 48274 and 48418, with possible profit booking.
Flat Opening:
A flat opening might see BANKNIFTY finding support around 47690 and trading higher towards 47741, with resistance at 47977-48109. Conversely, a breakdown below 47690, sustained below 47650, could indicate a retracement towards 47468 and 47164, with the latter presenting a strong buying opportunity.
Gap Down Opening:
If BANKNIFTY opens with a gap below 47600 but recovers above 47650 within the first hour, consider a buy trade targeting 47977-48000-48109. However, if prices remain below 47650, anticipate a drop towards 47468 and potentially 47164.
Conclusion:
BANKNIFTY's trading plan for May 14, 2024, outlines potential scenarios based on different opening conditions. Traders should carefully evaluate market dynamics and implement appropriate risk management strategies.
Disclaimer:
This trading plan is provided for informational purposes only and should not be considered as financial advice. Trading in financial markets carries inherent risks, and individuals should conduct their own research or consult a financial advisor before making investment decisions.