BANKNIFTY tomorrow [18th September 2020]

Sep 17, 2020

The index failed to sustain above 22400 (critical level; 38.2% retracement from ATH ), which is also where it's 1 week's MA lies. Given, NASDAQ is down over 2% at the time of writing this, and FIIs & DIIs having been net sellers for the day, its likely that the market would open with a gap down. However, the index has multiple supports - Near bottom trend channel; Stochastics extremely oversold with divergence in lows; SAR @ 22100. In case 22100 is breached decisively, one can short.

LONG, if index takes support @ 22150-22200 for 22400|22600|22800.

SHORT, if the index breaches 22100 for 21900|21600|21400.