BANKNIFTY [17th December 2020]
** PLEASE NOTE THAT ALL LEVELS MENTIONED ARE SPOT **
Good evening! 30800 is proving to be a make-or-break level for the index as of now. Although there wasn’t much selling (or buying) by IIs, the market managed to fall under its own weight (high P/E). Given that retail investors have been redeeming their MF investments m-o-m, they will be looking to plough it back in at lower levels, indicating a lack of buyers at current levels. However, if FIIs keep buying relentlessly, there will be no stopping in increasing the magnitude of this bubble. So please refrain from taking long-term positions until there is a clear direction and scalp the volatility.
LONG, if the index sustains above 30800 for targets of 30900-31050-31350. In case of a gap-down, one can go long if the index takes support around 30500.
SHORT, if the index breaches 30500, and fails to recover, for targets of 30350-30200-29900. In case of a gap-up, any weakness around 30800 should be used as a shorting opportunity.
** Please ‘like’ if you find my analysis useful. Critical ‘comments’ are humbly invited. **
Good evening! 30800 is proving to be a make-or-break level for the index as of now. Although there wasn’t much selling (or buying) by IIs, the market managed to fall under its own weight (high P/E). Given that retail investors have been redeeming their MF investments m-o-m, they will be looking to plough it back in at lower levels, indicating a lack of buyers at current levels. However, if FIIs keep buying relentlessly, there will be no stopping in increasing the magnitude of this bubble. So please refrain from taking long-term positions until there is a clear direction and scalp the volatility.
LONG, if the index sustains above 30800 for targets of 30900-31050-31350. In case of a gap-down, one can go long if the index takes support around 30500.
SHORT, if the index breaches 30500, and fails to recover, for targets of 30350-30200-29900. In case of a gap-up, any weakness around 30800 should be used as a shorting opportunity.
** Please ‘like’ if you find my analysis useful. Critical ‘comments’ are humbly invited. **
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.