BANK NIFTY CHART STUDY
Almost from past 3 month we are mentioning that bank nifty is moving in range and making a consolidation box on chart, but in last session it able to move above 15750 level and able to break the election high level, which is a new life time high for bank nifty now.
Even we told you that there was divergence in bank nifty and nifty from past three months, like nifty has given a four new life time highs after a election high, but same was not done by bank nifty, but as per current chart we can see that with the nifty index, bank nifty also able to make new life time high and able to break the consolidation range of past three month, so this can be a indication of big breakout in coming days, but yes we need to follow the technical levels behind this assumption.
Now we see that in last session bank nifty given a good close above 15800 level and as per candle stick pattern it has even shown a good strong bullish candles on chart in last week.
As per rsi development we can see that it has again develop a point of “BULLISH NEGATIVE DIVERGENCE” on chart now, so if we see good close above this point of divergence then we can expect a big breakout in banking index.
As per technical chart overall now good support at 15600 level and if able to move and close above 15875 level then we can expect a big breakout move in coming time till 16200-16800-17500 also.
Any red candle before breaking 15875 level can give some reversal move also, but major fall to see only if bank nifty close below 15600 level.
So overall 15600 and 15875 levels and this range is seems to be important on chart now.
If one can look at the weekly chart of bank nifty then we can even see a “BULLISH FLAG” development on chart now, which can even suspect a good breakout of 3000-3500 points in bank nifty on long term chart, but yes overall it should able to fulfil current conditions to lead ahead for the long term breakout, so one can just keep this point in mind and this will be valid only when we able to see breakout on daily chart.
LAST WEEK CALLS PERFORMANCE
BRITANIA 1200 TO 1312
WOCKHARDT 690 TO 725
JINDAL STEEL 291 TO 301
RANBAXY 605 TO 649
SUNPHARMA 818 TO 868
TIMKEN 375 TO 467
CALLS FOT THE CURRENT WEEK
Buy UNION BANK in a range of 205-220 sl 185 target 248-265-310
Buy TTK PRESTIGE above 4500 close sl 4100 target 5200-6000-7000
Buy PIDDILITE above 392 close sl 370 on closing basis target 425-460
Buy BANK BARODA above 930 hold if close above 930 only sl 870 target 1010-1070
Buy CANBK above 400 also near to 385 if fall delivery sl 350 on closing basis target 430-470-525
Buy PNB above 1000 on closing basis sl 930 target 1100-1200
Buy RALLIS INDIA above 240 if close above 240 then only hold sl 220 target 280-320
Buy VINDHYA TELE in a range of 430-460 sl 350 on closing basis target 650-800-1000