-BANKNIFTY IS TRADING IN A RANGE
-RANGE OF 23500-24200 FUTURES RANGE
-I EXPECT UPSIDE BIAS IN THE INDEX
-IF BANKNIFTY BREAKS ABOVE 24200 AND SUSTAINS I WILL BE A BUYER IN THE INDEX
-THEN UPSIDE TARGET WILL BE RAISED TO 24750
-SUPREME COURT DECISION ON INTEREST WAIVER IS NOT OUT STILL A OVERHANG
-ONCE THE DECISION IS OUT I EXPECT THE MARKET TO RALLY
-FALLING...
Banknifty had a severe fall on 31 August, when India and China had some argument near the border in Leh. This triggered a huge sell off from the day's high and Banknifty ended around 3% lower for the day. Today, Banknifty consolidated in a range and this was expected as Banknifty had 2 continuous trending days. Usually after a trending day, a stock or index...
Sell CE of 25500 at spot of 24200 and. 24600 for Sept and October. Buy CE of 26000 to make it bear call spread.
Ratio should be 2: 3 for 25500 and 26000 CE
Disc : It's not an advise to buy or sell
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I TOOK THIS TRADE AT MARKET CLOSING:
Buy 24000 CE 1 lot,
Sell 24600 CE 3 lot
Buy 24800 CE 2 lot
Take at cmp
Max risk 3k Profit 10k plus
In case of GAP-UP/ GAP-DOWN, do not jump into the trade. There might be some adjustments required.
Bank Nifty Future has seen sell off from Channel Resistance technically, where some negative news has added the spice to the bears. For the September Series 25270- 25300 in the strong resistance and Strategy to sell on the rise should be the plan (CMP 23775) if Bank Nifty Future Closes above 25300 we may see BN again entering bullish zone.
Very Strong Demand Zone @ 23000-23200
Demand Zone @ 23800-2400
Supply Zone @ 24900-25150
Supply Zone @ 25800-2600
If bank Nifty will manage to sustain above 24000 then I may sell 24000 put.
In any case If Bank Nifty will trade above 25150 then I may tong a long position in Fut for the trade of next supply zone @ 25800-26000.
I will think for the call writing or...
