Bank Nifty Trading Strategy for 22nd July'2020

Cypher pattern:- Bearish formation seen on #banknifty:- Pattern Failed

Focus on PRZ - Price Reversal Zone (22,650 - 22,750):- Failed, closing above

Head & Shoulder formation in progress in a 1-hour chart, any bubble break will happen below 21,000 might see a target of 18,895:- Failed, closing above 22,750.

I said: "I won't change my view based on dow or vaccine news, I will post what I see on the chart"

PRZ / Cypher pattern / H&S:- Three patterns failed today, forced me to relook into the chart.

52W H :- 32,613
52W L :- 16,116

38.2 % 22,428
50.0 % 24,365
61.8% 26,311

Wave 2 is 21,967 to 17,195, so 50% of this wave is 24,398 which coincides with 50% of the fall 24,365.

As per wave structure, the next logical is 24,365.

Long Entry in dips:- Use GAP for entry 22,516 - 22,600, SL 22K for a first target of 23,365.

Point of view reversal:-

1. Banknifty goes below 22K.
2. Banknifty fails to breaks resistance zone 22,909-23,080

Trade what you see, not what you feel, enjoy trading.