NIfty's shows 3 candles with consistent Higher highs and higher Lows. Ditto with BNF. What it means? In my view, Bulls are slowly getting confident. Both the indices are cautiously exploring new highs and when this happens for 3 straight days, on fourth day I would expect a clean move- a strong green candle on . It can come day after tomorrow also but tomorrow it looks more likely. Only condition is, NIFTY and BNF both should not break today's low. IF they do, then again some consolidation may happen. Lets check what DII & FII buy/Sell data suggests. Provisional data shows FIIs to be net buyers by 95 Crs and DIIs to be Net Sellers by 151 Crs . Yet there was a good upmove from lower levels. For some reason, I am not able to see final BUY/ SELL figures of FIIs and DIIs on NSE website. So let it pass.
Call unwinding on all strikes from 11600 to 12000 shows Bears retreating. Highest fresh Call writing (2.04 Lakhs) is at 12200 and highest Call unwinding is seen at 11900 (5.65 lakhs). It shows Bears shifting to higher resistances. On PUT side there is no unwinding on strikes near CMP. In fact there is handsome PUT addition. Highest PUT writing is at 11900 (7.07 lakhs). If you add up fresh OI writing on CALL and PUT side, PUT has a definite edge. So this data also supports move. Now levels- If BNF comes down, It is likely to take support between 31050 & 31115 (support on 15 min chart), so buy here. SL should be just below today's Low and target can be somewhere around 31510. All the best.
If Bank Nifty can trade above 31240 for the day only then we can assume the uptrend is intact. I believe we have better risk to reward ratio on the downside then the upside. Major resistance zones are 31400, 31700. On the downside we have targets open till 29800 which could be possible in the next weekly series only if the Bearish flag pattern works out.