shaileshyankanchi

Bank Nifty at Crucial point

NSE:BANKNIFTY   NIFTY BANK
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As expected due to the RSI divergence as well as to retest the resistance we broke yesterday, we retracted about 300-400 points. Check my last post, I had predicted a retracement until the trend line .
The rally should continue towards ATH since Nifty is already at its ATH as per the Dow theory mentioned below.
However if the global que turns negative due to the rise in the Covid cases and If we breach the support of the trendline we may see Bank nifty coming down to fill the gap shown in the chart.

Overall I will wait for the price action and market decide the path. Please analyze for yourself, this is for learning only. NOT A FINANCIAL ADVICE.
Happy to help if you have any questions.

Happy Trading Folks !
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DOW THEORY: The Dow theory is a financial theory that says the market is in an upward trend if one of its averages (i.e. industrials or transportation) advances above a previous important high and is accompanied or followed by a similar advance in the other average.

Comments

We may move down if the trend line is breached as explained to fill the gap below. I wont recommend short until the support is breached, but if it is breached we might go for gap filling to 35300-35200 zone.
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please guide me if am wrong...your kind advise is highly appreciated.
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sir.. as per my knowledge banknifty has formed bearish shark pattern...and also bearish wolf wave pattern....banknifty has to fall further
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@sripal_34, We can go short if 35700 is breached in 1Hr TF
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sripal_34 shaileshyankanchi
@shaileshyankanchi, THANKS SIR...
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sripal_34 shaileshyankanchi
@shaileshyankanchi, several attempts made but banknifty is not able to brake 35700...hats off to you Sir
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sripal_34 shaileshyankanchi
@shaileshyankanchi, watching it Sir ...it is not braking 35700 level...will it brake it ?
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@sripal_34 I am just a learner as everyone else, don't call me sir.
we shouldn't try not to predict but work on probability... let the market decide, we will act upon it braking...
my outlook is still Long, but it can change if market shows the signs of weakness.
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as we chat, it's made a bullish engulfing in 1hr timeframe :)
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