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BANKNIFTY-FUN

Postmortem on #BankNifty - 06 OCT 2022 - Weekly Expiry Bank nifty opened 39343 right at the resistance line made a long wick 5mts 1st candle. The 2nd candle broke the SR line. At 09.40 after seeing the red candle i assumed BN will trade lower and exited the 39500 iron fly at the cost price. I was not expecting BN to go up and the 4 candles from 09.45 to 10.00 really surprised me. And all the trade that happened till 12.55 was against the trades i had in my mind. The reason i thought BN would not go up was because of the long wick and the immediate break in SR during the first 15 to 20mts. The trades from 13.00 to close was something that really comforted me. Eventhough i did not make big money trading today’s expiry - the closing price action was inline with the opening pattern. Again all these trades would be positional as it was the weekly expiry, to know if the trend is continuing or not we need to watch the trades of tomorrow & monday. For traders who would have taken an intraday straddle or strangle - there is a high possibility that their stop loss would have been hit. If for some reason they forgot to put the SL or simply didnt have one - they would have made money as the opening & close was almost the same. 5mts TF shows no specific direction. If tomorrow also BN stays in this range - then i would prefer to plan for a range bound expiry for 13th. 15mts TF shows a W bottom pattern 1hr TF shows the W pattern with much more clarity. This need not be taken so seriously as BN just came out from a double top M pattern last week. So we would need to wait for further sessions to confirm if its trend continuation or reversal. Bank nifty important support and resistance lines s1:38698, s2: 37946 r1: 39326, r2: 39739 Thanks for reading Viswaram Finance! No recommendations, No predictions !
NSE:BANKNIFTY
by viswaram