BankNifty - Closed below 100 DEMA, weak on most indicators.

Bank Nifty's today's close is below 100 Days EMA . It even closed below a major trend line that was supporting it, for past 2-3 days.

Corona fear has gripped the markets so much that any attempts to pull back are being sold into. Markets are oversold but there are no signs of recovery, yet.

Would like to share something w.r.t. budget too, though there are not much expectation from budget, I don't think there can be any disappointments for the markets, the Govt . can not afford to spook markets at this stage. On the contrary, despite financial constrains, some market friendly steps can be expected, that may support the oversold markets.

As far as my understanding goes, CORONAVIRUS is a much bigger problem at this stage, we have already seen it overshadowing all attempts of a pre budget rally. Asian markets have corrected far more than our markets, on Monday Chinese markets are expected after a long holiday.It will be interesting to watch extant of the fall there, and how do our indices respond to that.

If the bad news w.r.t. Corona keep flowing in - we may see it impacting our markets even more badly.

As long as Bank Nifty remains below 30637, it is open to bigger falls that can even take it to sub 30000 levels.

Avoid trading naked positions, risk defined strategies can be attempted if one has to.


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