BANKNIFTY rejected the 38.2% retracement and moved down to the trendline its been following since a month. The RSI divergence is indicating weakness and a break of the trendline could speed up the fall and we could see 20,950 followed by 20,000 and 19,750 being tested. The way the structure is setup, we could see this possibly by way of a swift downward move.
Trade closed manually:
While the first target was achieved, market then reversed and retested the 38.2% levels.