Bank Nifty touched a low of 30338 and recovered to 30788, a handsome 450 points recovery, that came after a fall of 867 points. Over 50% recovery after a massive pull back looks convincing, more so when the news flow w.r.t. GDP estimates, WPI / CPI Inflation, IIP etc. are not very encouraging.
The RSI on 30 minute chart went below 50 yesterday, it even touched below 30 levels for a brief while in the morning today, but it recovered immediately and spent most part of the day between 30-50 and closed above 50. (Last time when the RSI came below 30 was on Oct. 4th)
I would advise staying on the side lines for some time before taking any positions tomorrow.
If it sustains above 30810 for some time, long positions can be taken for targets of 30910, 31076 and 31210, S.Loss 30680.
Similarly, if it does not sustain, short positions can be taken below 30600 for targets of 30500,30350 and 30100. S.Loss 30740.
Repeating, please wait for Nifty to settle around mentioned levels before taking any positions.
*"Puneet_9EMA_21_RSI"* is a simple and reliable indicator, many of us have been using it for a few months as it has given some reliable "Enter" and "Exit" signals, all very close to the tops and bottom.
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This post is not an advice to speculate using leveraged products, one must thoroughly understand the financial implications, consult some financial adviser before taking any positions.
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Please consider hitting the LIKE button below the chart, if you find this post / idea worthy. You may also FOLLOW me over this forum for periodic updates on Nifty , Bank Nifty and bullion.
The RSI on 30 minute chart went below 50 yesterday, it even touched below 30 levels for a brief while in the morning today, but it recovered immediately and spent most part of the day between 30-50 and closed above 50. (Last time when the RSI came below 30 was on Oct. 4th)
- I feel it is important to keep an eye on this level . . . . . .
Though RSI on daily charts closed above 60, it is a tad below its EMA of 9 days.
Bank Nifty closed 208 points above yesterday's closing, with the support of six components closing in green, while other six closed in red only.
Today was also an options' settlement day, we have seen settlement days giving confusing signals about the market movements, quite often.
I would advise staying on the side lines for some time before taking any positions tomorrow.
If it sustains above 30810 for some time, long positions can be taken for targets of 30910, 31076 and 31210, S.Loss 30680.
Similarly, if it does not sustain, short positions can be taken below 30600 for targets of 30500,30350 and 30100. S.Loss 30740.
Repeating, please wait for Nifty to settle around mentioned levels before taking any positions.
*"Puneet_9EMA_21_RSI"* is a simple and reliable indicator, many of us have been using it for a few months as it has given some reliable "Enter" and "Exit" signals, all very close to the tops and bottom.
++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
This post is not an advice to speculate using leveraged products, one must thoroughly understand the financial implications, consult some financial adviser before taking any positions.
++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
Please consider hitting the LIKE button below the chart, if you find this post / idea worthy. You may also FOLLOW me over this forum for periodic updates on Nifty , Bank Nifty and bullion.