#Banknifty directions and levels for September 6th.

Sep 6

Current view:

BankNifty shares the same sentiment due to its range-bound structure. If the market opens with a gap-down, we can expect an immediate target of 51303. After reaching this level, if it consolidates or breaks solidly, the correction may continue toward lower levels, with a minimum target of 51206, extending down to the 78% Fibonacci level. That means we can expect the correction or next move only if it breaks the immediate support level. This is our first scenario.

Alternate view:

Alternatively, if the initial market pullback is strong, or if it rejects around the immediate support level, the range-bound market may continue. If this happens, we can expect a bounce back of 61% to 78% in the minor swing.

Sep 6

Note

"Usually, this kind of correction won't take more than 38% of bounce back. If it breaks 38%, that's a sign of entering a range-bound market once again. On the downside, if it breaks the previous bottom with consolidation or a solid candle, we can attempt a breakout entry."