Banknifty broke yesterday's low 35890 went down to test immediate support of 35500 and took resistance at the same point 35890 where it broke yesterday's low.
Good example of support broken turns into resistance.
Now the price is in downtrend in smaller timeframe, it is still sideways on one higher timeframe.
Closely looking at the price it has made a upside retracement (flag) of recent dip, so, my view is short if flag breaks down 35700, (more conviction below 35540)
may see Head and Shoulder pattern too in price in flag...Target price may do Lower Low till gap support (immediate support).
Contra View : If breaks above today's last swing high (35890) , then may travel upside in flag channel.
OR it may not break the downtrend channel and keep a volatile up-down move within the channel not giving momentum on either side, typical expiry day.
Though afternoon sessions are surprising !!!
Happy Trading !!!
Good example of support broken turns into resistance.
Now the price is in downtrend in smaller timeframe, it is still sideways on one higher timeframe.
Closely looking at the price it has made a upside retracement (flag) of recent dip, so, my view is short if flag breaks down 35700, (more conviction below 35540)
may see Head and Shoulder pattern too in price in flag...Target price may do Lower Low till gap support (immediate support).
Contra View : If breaks above today's last swing high (35890) , then may travel upside in flag channel.
OR it may not break the downtrend channel and keep a volatile up-down move within the channel not giving momentum on either side, typical expiry day.
Though afternoon sessions are surprising !!!
Happy Trading !!!