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Bankniftyoptions

PostMortem on BankNifty Today & Analysis of 01 MAR 2023Yesterday we discussed a possibility of finding a trend on wednesday, read yesterdays report as the related item Although i was not sure about the direction yesterday, it turned out on the bullish side. Deep down i really wanted to see NSE:BANKNIFTY break down & fall to the support levels of 39742 - mainly because the option premiums were very low due to the lack of volatility. Its better to refrain from option selling than sell at low premiums, thats because with a beast like NSE:BANKNIFTY  - its hard to run for cover when the rally is against your short position, be it CE or PE. Now thats alright, because there is no guarantee that a fisherman gets his fish everyday, still he packs his gear & goes fishing. When he gets 1, he enjoys & when he gets none, he isnt disheartened. Option selling is more like fishing, its because the option seller has to wait for the highest premium to sell (sell at top) to reduce any risk of counter rally. So if he commits first, and the premium goes up - he either adds more position or squares off at a loss eventhough he got the direction correct. Option buyer on the other hand need not worry of buying at the bottom. All that matters is if he can find another buyer at a higher price & exit. Direction is the only benefit option buyer has. Coming back to the post mortem analysis, NSE:BANKNIFTY opened gap up at 40473 made a red first candle and then started moving higher. The rally stopped when the resistance level of 40704 was hit. We had a 1% ~ 403pts upmove by 11.40 considering prices from prev. close. The main reason for the rally was the outperformance by NSE:SBIN +2.66% & NSE:AXISBANK +2.49%. NSE:INDUSINDBK also support strongly at +2.11%. Now Axis rallied due to the news event connecting the acquisition of Citi bank's assets, SBI - i really dont know. NSE:HDFCBANK & NSE:ICICIBANK did not move that much today, there was no bearish sentiment either. Otherwise the smart boys would have reduced NSE:HDFCBANK & NSE:ICICIBANK positions to keep the niftybank in the flattish territory.  Now this 1.07% ~ 429pts rally today by NSE:BANKNIFTY did not break the resistance conclusively. It did close right at that level though. The next move will be exciting as further upmove will negate bearish bias on all lower timeframes. --- 15mts TF is showing the brief upmove & a possible break from the current bearish leg. Once it goes above 41000 NSE:BANKNIFTY will no longer be bearish in the 15mts scale. --- 1hr TF - you might have noticed the W pattern marked in cyan color. What you might have failed to see is the beautiful bearish wave right from the 14th dec. So if bank nifty has to negate this bias it has to take out the resistance very quickly. Yes the current W pattern may give it momentum - but will it really hold only the next 2 sessions will tell. to view the 4 charts in today's discussion visit viswaram. com
NSE:BANKNIFTY
by viswaram
Baknifty trying to make Cup and Handle PatternBaknifty trying to make Cup and Handle Pattern Today banknifty in a channel pattern and going towards high as the PCR is above 1 if you want to get profit instantly Its simply just impossible so find the proper range with premium decay calculation then trade. every red candle sign of profit today if you are a buyer after hitting the resistance levels its should be / may take a support of ( > then) 50% of cup pattern. have a nice trading day.. 💖💖 Don't Take "One More Trade"... story of a successful trader
NSE:BANKNIFTY
by dasarijit245
Banknifty weekly analysis for 27/02/22.Banknifty on the weekly time frame has formed a evening star pattern and closed below the 20 ema. Even on the daily time frame the market has closed below the 200 ema and 40k round level. Market has been taking support from 39900 levels. If it starts trading below the levels, bearish trades can be entered and nice targets can be achieved. On the hourly time frame, the market has closed below both the moving averages and formed a consolidation zone in the second session. The market has consolidated in a parallel channed. Let the market start trading outside the channel and decide the intraday trend. Support :- 39800, 39500 Resistance :- 40140, 40600 The 20 ema on 15 minutes is around the 40600 levels, watch for a resistance from it and any negative candle around it will be an opporunity. Wait for the price action near the price levels before entering the markets.
NSE:BANKNIFTY
by Mambotrade
PostMortem on BankNifty Today & Analysis of 24 FEB 2023Bank nifty price action is getting exciting day by day, @TradingView has opened up this feature called as Minds (with the call out icon) - its like a running commentary we can do while the trades are taking place. Let me explain few pointers posted in the TV minds & why it made sense then. NSE:BANKNIFTY opened gap up at 40259, the first 3 candles looked quite promising that NSE:BANKNIFTY will break away as the gap up took out the resistance 40134. Majority of the traders & investors would have sided towards the long side - however the put options volume were not lying. Thats when we posted this - "$BANKNIFTY looking at the PE options volume we feel some bulls got trapped" What happened from 09.25 to 14.25 was that bank nifty lost 1.3% ~ 524pts & all those who went on the long side would have either hit the SL or exited at a huge loss afterwards. When the prevailing trend is bearish, any rise will give the big boys opportunity to short further - thats what was happened. For the people who went long - they were expecting the assist from short covering, but that never came. The 2nd trap came at 14.00 candle, the nicely looking red candle would have forced more people to buy PUT options & take the bearish trade. Thats when we posted this: "$BANKNIFTY 39742 still my laxman rekha for further bearishness" Its because 39742 is still the major support & we will not have momentum until thats taken out. If we go by the higher time frame - you will get it spot on. NSE:BANKNIFTY is literally stuck here, we are bearish but not very-bearish. 39742 has to be taken out via an aggression or via gap down - which we feel will happen in the coming days & this will fuel both the options premium as well as the directional move you were looking for. --- 15 mts TF will show the 66 bars ~ 2 days that we are stuck in this small SR zone. NSE:BANKNIFTY looks like catching breath for the next move. So ideally this is a no trade zone for directional strategies. --- 1hr TF has made a beautiful arch, well the arch is not the important aspect - but the retouch of the support level is. Many days of waiting and an important support level of 39742 to break !
NSE:BANKNIFTY
by viswaram