Option chain data for BankNifty (BNF) shows Put writing at all levels. This shows confidence of bulls. Even though highest total OI is at 29000, 2nd highest total OI is at 29500 and 3rd highest total OI is at 30000. Highest Put writing, though, is at 29500. On CALL side, There is unwinding at almost all levels till 30000. Only appreciable Call writing is at 31000 strike, which shows that Call writers do not see any nearby resistance.
On charts too, similar signals are being seen. Today BNF finished as a strong green candle closing above 29700, which was proving as an hindrance since last few sessions. On charts, There is some resistance at 30300 to 30400 when BNF goes beyond 30000, so it will take some time before we reach there. For buyers there is clear-cut buying area as marked on 15 min chart. Go long only, mood is too bullish to short at any level.
All the best. Happy trading.
On charts too, similar signals are being seen. Today BNF finished as a strong green candle closing above 29700, which was proving as an hindrance since last few sessions. On charts, There is some resistance at 30300 to 30400 when BNF goes beyond 30000, so it will take some time before we reach there. For buyers there is clear-cut buying area as marked on 15 min chart. Go long only, mood is too bullish to short at any level.
All the best. Happy trading.