Banknifty weekly setup

Banknifty has been trading in a range of about 400 points(marked as the smaller range) and needs to breakout of it, on either side, to prove the strength of either the buyers or sellers, depending on which side the breakout happens. As far as the weekly expiry goes, I do not expect Banknifty to violate the psychological level of 21000, on the down side, or 22300, on the up side. Upside breakout needs to happen above 22400, as the Fibonacci retracement level of 50% is present there. A larger time frame, of Banknifty futures, suggests that volume has not be supporting the price, as it is heading higher, suggesting a divergence between price and volume. This is a bearish sign. Banks are under pressure due to various factors, such as lending money to companies which are in trouble due to COVID, loan moratorium to name a few, and so Banknifty has not been able to completely follow Nifty's trend, and has faced a huge resistance at the 23000 level. But fundamentally stronger private banks and index heavy weights, such as HDFC Bank, ICICI Bank, Axis Bank and others, can help Banknifty lift up and beyond the resistance levels, if any positive news were to come. Mixed signals are currently present in Banknifty, such as wide range bullish candles, suggesting the presence of buyers, but some of the candles are on back of low volume, suggesting that it may be a test(VSA concept) or profit booking. Hence, range breakout will give a clear image about the strength of buyers and sellers.
This is an educational post and all the opinions provided above and on charts are simply speculation. Nothing is 100% in stock market.
Consult your financial advisor before taking trades
I do not recommend taking trades according to my analysis as you may incur loss, for which I am not responsible.
Trade carefully
Grateful🙏

Comment:

Once 22315 is broken decisively, then 22700 will be achieved. (No time limit specified)

Trade closed: target reached:

22311 is achieved