Please read this along with my post on Nifty to get a better perspective. Numbers announced by NSO relating to GDP and other sectors shocked the market partcipants, economists and industry alike. Nobody was expecting a low figure of 5.0% on sequential basis. I would also term bank amalgamation news as bad and as far as bank nifty is considered a non-event. On charts, BNF is weaker as compared to Nifty. Nifty formed a higher high and lower low but BNF formed a lower low and lower high on daily chart with a doji candle. Such set up- continuous fall and seeming stop (read doji candle) at some level with LH & LL candle (than previous one) often results into next candle as a big red candle. So I am going for short on BNF. If it does not break friday's low of 27121 during the entire day, then I would revise my strategy, otherwise I am all for Sell on BNF.
My reading- it might open gap down and fall further. Trade will have to be taken based on movement on chart. levels are given for tomorrow though clear-cut levels are difficult to predict for tomorrow as market will react on this macro-economic news in big way.
As far as option chain data is concerned, it would be of no relevance tomorrow in my view.
All the best. Happy trading.
DISCLAIMER: I have bought BNF PUT options so I am short on BNF.
My reading- it might open gap down and fall further. Trade will have to be taken based on movement on chart. levels are given for tomorrow though clear-cut levels are difficult to predict for tomorrow as market will react on this macro-economic news in big way.
As far as option chain data is concerned, it would be of no relevance tomorrow in my view.
All the best. Happy trading.
DISCLAIMER: I have bought BNF PUT options so I am short on BNF.
1) Govt exhausted 77.8%of fiscal deficit annual target for FY20 in 5 months.
2) GST collection for August falls short of 1 lakh crore and us at around 98000 crore.