Detailed Market Structure Breakdown
4-Hour Chart (Macro Trend)
Structure: The Bank Nifty is now in a Corrective Phase within its broader uptrend. The price was aggressively rejected from the All-Time High zone (58,577) and the upper channel boundary. The final 4H candle is a large bearish candle, confirming the Market Structure Shift (MSS) to the downside. The price closed below the midline of the current ascending channel.
Key Levels:
Major Supply (Resistance): 58,300 - 58,400. This area (the breakdown level and the FVG) is the immediate overhead resistance.
Major Demand (Support): 57,800 - 58,000. This area, which includes the lower trendline of the current ascending channel and a prior FVG (Fair Value Gap), is the must-hold zone for the medium-term rally.
Outlook: The short-term bias is Bearish. The sharp reversal suggests strong profit-booking, and the market is likely to seek lower support levels.
1-Hour Chart (Intermediate View)
Structure: The 1H chart clearly shows the massive selling pressure that followed the failure at the ATH. The price has broken below the 9-period EMA and is now trading right above the 57,800 support, which is the lower trendline of the channel.
Key Levels:
Immediate Resistance: 58,300 (The breakdown level/FVG).
Immediate Support: 57,800 - 58,000.
15-Minute Chart (Intraday View)
Structure: The 15M chart confirms the steep descending channel formed during the correction. The market closed near its low, breaking below the immediate swing low and confirming intraday bearish control.
Key Levels:
Intraday Supply: 58,200.
Intraday Demand: 57,800.
Outlook: Strongly Bearish for the session open. A "Sell on Rise" strategy is highly favored.
📈 Structure Analysis & Trade Plan: 31st October
Market Outlook: The Bank Nifty witnessed an aggressive reversal after failing to hit a new ATH.
Bearish Scenario (Primary Plan: Correction Continuation)
Justification: The aggressive rejection from the ATH zone and the breakdown of the short-term bullish structure favor continuation toward the main FVG support.
Entry: Short entry on a decisive break and 15-minute candle close below 57,800. Alternatively, short a retest and rejection of the 58,200 level (upper channel/FVG).
Stop Loss (SL): Place a stop loss above 58,400 (above the immediate breakdown high).
Targets:
T1: 57,500 (Psychological support).
T2: 57,200 (Major FVG demand zone).
Bullish Scenario (Counter-Trend/Reversal)
Justification: Only valid if the Fed decision was extremely dovish, leading to a strong gap-up that negates the current selling structure.
Trigger: A sustained move and close above 58,400.
Entry: Long entry on a confirmed 15-minute close above 58,400.
Stop Loss (SL): Below 58,100.
Targets:
T1: 58,577 (All-Time High retest).
T2: 59,000 (Extension target).
Key Levels for Observation:
Immediate Decision Point: 57,800 - 58,200 zone.
Bearish Confirmation: Sustained trade below 57,800.
Bullish Warning: A move back above 58,400.
Line in the Sand: 57,800. Below this level, the short-term bullish bias is strongly bearish.
4-Hour Chart (Macro Trend)
Structure: The Bank Nifty is now in a Corrective Phase within its broader uptrend. The price was aggressively rejected from the All-Time High zone (58,577) and the upper channel boundary. The final 4H candle is a large bearish candle, confirming the Market Structure Shift (MSS) to the downside. The price closed below the midline of the current ascending channel.
Key Levels:
Major Supply (Resistance): 58,300 - 58,400. This area (the breakdown level and the FVG) is the immediate overhead resistance.
Major Demand (Support): 57,800 - 58,000. This area, which includes the lower trendline of the current ascending channel and a prior FVG (Fair Value Gap), is the must-hold zone for the medium-term rally.
Outlook: The short-term bias is Bearish. The sharp reversal suggests strong profit-booking, and the market is likely to seek lower support levels.
1-Hour Chart (Intermediate View)
Structure: The 1H chart clearly shows the massive selling pressure that followed the failure at the ATH. The price has broken below the 9-period EMA and is now trading right above the 57,800 support, which is the lower trendline of the channel.
Key Levels:
Immediate Resistance: 58,300 (The breakdown level/FVG).
Immediate Support: 57,800 - 58,000.
15-Minute Chart (Intraday View)
Structure: The 15M chart confirms the steep descending channel formed during the correction. The market closed near its low, breaking below the immediate swing low and confirming intraday bearish control.
Key Levels:
Intraday Supply: 58,200.
Intraday Demand: 57,800.
Outlook: Strongly Bearish for the session open. A "Sell on Rise" strategy is highly favored.
📈 Structure Analysis & Trade Plan: 31st October
Market Outlook: The Bank Nifty witnessed an aggressive reversal after failing to hit a new ATH.
Bearish Scenario (Primary Plan: Correction Continuation)
Justification: The aggressive rejection from the ATH zone and the breakdown of the short-term bullish structure favor continuation toward the main FVG support.
Entry: Short entry on a decisive break and 15-minute candle close below 57,800. Alternatively, short a retest and rejection of the 58,200 level (upper channel/FVG).
Stop Loss (SL): Place a stop loss above 58,400 (above the immediate breakdown high).
Targets:
T1: 57,500 (Psychological support).
T2: 57,200 (Major FVG demand zone).
Bullish Scenario (Counter-Trend/Reversal)
Justification: Only valid if the Fed decision was extremely dovish, leading to a strong gap-up that negates the current selling structure.
Trigger: A sustained move and close above 58,400.
Entry: Long entry on a confirmed 15-minute close above 58,400.
Stop Loss (SL): Below 58,100.
Targets:
T1: 58,577 (All-Time High retest).
T2: 59,000 (Extension target).
Key Levels for Observation:
Immediate Decision Point: 57,800 - 58,200 zone.
Bearish Confirmation: Sustained trade below 57,800.
Bullish Warning: A move back above 58,400.
Line in the Sand: 57,800. Below this level, the short-term bullish bias is strongly bearish.
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.
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.