BankNifty Analysis - Stance Bullish ⬆️
The line we drew yesterday was more or less right. Banknifty respected the trend line and moved ahead when Nifty was trading flat. RBI MPC outcome expectations were not the reason we had the fall yesterday. I can say that with a high level of certainty because today we went past yesterday’s high. And as soon as we cut through...
BankNifty Analysis
Banks had a totally different chart pattern than Nifty50 today. I would say the pattern by BankNifty was more mature and stable compared with Nifty. At no point in time, a breakdown was visible in BN today - yes, we dropped 0.67% ~ 316pts in between, but it was not as scary as N50.
4mts chart link - click here
RBI Governor maintained...
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.
4mts chart link - click here
Banks will be on their toes tomorrow huffing and puffing to...
Nifty Today’s Analysis
Recap from yesterday: “As an analyst, it is very difficult to predict when the trend will end, but we need to keep looking. For tomorrow, I prefer to continue with the long bias unless we give up the 20853 in the morning session.”
4mts chart link - click here
The opening candle was explosive, in line opening with a strong fall. See the...
BankNifty Today Analysis
BankNifty also had a gap up open, but the first-hour price action did not seem normal. Not just because we went underwater and traded negative for the rest of the day, but the lack of will by the banks to move up. We all know the RBI MPC started the meeting today and we will have the summary on Friday @ 10.00 AM.
5mts chart link - click...
BankNifty Analysis
I had a bearish view for today, but it played out as a bad day for the bears. The RBI MPC meeting at 10 am did not move the needle that much. Usually, the RBI Governor’s speech drives up the volatility and we have some adverse moves.
There was one strong move of 250pt from 10.50 to 11.20 where we pulled back from 44500 levels. Even then the...
BankNifty Analysis
BankNifty had a similar chart pattern as that of Nifty. An opening gap-up of 272pts ~ 0.6% and then a 2nd leg of rally from 10.30 of 279pts ~ 0.63%. The only difference I saw was that after the day’s high was hit - BankNifty started falling gradually whereas Nifty went flat.
Tomorrow’s RBI MPC outcome at 10.00 might be interesting. We would...
Banknifty was looking weaker compared to Nifty50 today, finally the day ended in green with a W pattern on 5mts TF.
Although we started today with a gap-up, the index was bleeding. Banknifty fell underwater by 10.40 - meanwhile Nifty50 was surging supported mainly by NiftyIT which came back strong after yesterday's trashing.
There was no strong downside momentum...
Yesterday we discussed in detail the RBI MPC possibilities. If you read the article - I was expecting a hike. Surprisingly RBI maintained status quo today.
Even when the inflation is at the elevated level a pause in rate hike should not be taken very lightly. An optimist would say it is an excellent decision that RBI is offering some breathing space for the...
Before we get into today's analysis let us spend some time on Inflation, MPC minutes by RBI & health of banking sector.
You might be aware we have the MPC minutes & interest rate decision tomorrow. There are 3 possible outcomes
status quo
dovish
hawkish
What really prompts RBI to rate hike are 2 things
Inflation
Liquidity in the markets
Now the last minutes...
