BankNifty Weekly Analysis

Sep 13, 2020

The chart is clearly indicating, that Bank Nifty continues to
1. Take support at 21000 - 21500 range ( see my fibo analysis from previous post )
2. It tried to cross the 48EMA channel ( consider it a like a yearly average ) but hit resistance at upper end of channel which also coincides with another weekly low in March.

If going long the trade appears favorable from a risk reward perspective as follows
Current : 22479
Max down side as per support 21000
Resistance : 25000

Risk reward ratios = 1479( risk) /2521 ( reward) ~ 1.6:1