BankNifty Analysis The opening candle was very similar to the Nifty’s. The low set in the opening minutes ended up as the low of the day. In a way, it shows the bulls are still in control. The pattern was quite similar to yesterday. Weak open and then range-bound trade.
Banks will be on their toes tomorrow huffing and puffing to the RBI Governor’s announcement. I feel he will bring in some measures to cut down the liquidity. The 2 last attempts by varying the iCRR and CAR did not go that well. Bank stocks reacted pretty badly but recovered and hit new highs.
Paytm fell 20% today when it said it might cut back on small value loans ~ Rs50000. I guess this impact came from the hike in CAR weightage from the last meeting.
I guess there is no clue from the chart here, will have to spend the time in front of the TV tomorrow to hear from the RBI governor directly. Since I am already neutral on BankNifty, my level to go short for tomorrow will be 46341.