BANK NIFTY 4813

BANK NIFTY IS FINDING SUPPORT AT 9860 ZONE. JUST A COUPLE OF SESSIONS AGO IT FORMED A LONG-LEGGED  DOJI ON A DAILY CHART AND AS PER THE FIBO TOOL IT IS EVIDENT THAT THE INDEX IS HOLDING ITS GOLDEN RATIO. CONSIDERING THESE FACTORS WE EXPECT A SORT OF BOUNCE IN BANK NIFTY IF 9860 IS NOT BROKEN. SINCE THE OVER ALL TREND OF THE INDEX IS DOWN WE RECOMMEND TO TAKE EXPOSURE IN OPTIONS. TRADERS CAN BUY 10600 CE AT 131 WITH THE SL OF 50 TGT 350-400. MAX RISK IS RS.2025 PER LOT WHILE THE POTENTIAL GAIN IS UNLIMITED. 

BANK NIFTY 1813

BANK NIFTY TODAY FORMED A DOJI CANDLE STICK PATTERN ON A DAILY CHART AFTER A SHARP SELL OFF. IT KISSED THE RESISTANCE LEVEL OF 10200 BUT FAILED TO CLOSE ABOVE THE SAME. LOOKING AT THE RECOVERY WITNESSED IN BANK NIFTY AFTER COUPLE OF SWING LOWS IT SEEMS IT IS NOW IN DEMAND ZONE AND MAY MOVE NORTHWARD. RECOMMEND BUY ONLY ABOVE 10225 WITH STRICT SL OF 10140 FOR THE POSSIBLE UP MOVE UP TO 10530-10600 LEVEL. 

BANK NIFTY 27713

THE INDEX HAS CLOSED BELOW A VERY STRONG SUPPORT AREA AROUND 10600 LEVEL. IT IS LOOKING IN A OVERSOLD ZONE BUT STILL WE FIND NO SIGN OF RECOVERY OR REVERSAL. WE ARE OF THE OPINION THAT UNLESS AND UNTIL THE INDEX CONSOLIDATES AND MOVES BEYOND 10600 LEVEL TRADERS MUST AVOID EXPOSURE TO BANKING STOCKS. ON THE DOWNSIDE THE IMMEDIATE SUPPORT IS PLACED AROUND 10200 LEVEL. AS OF NOW BEARS ARE HAVING CLEAR UPPER HAND.

CNX AUTO : 9713

CNX AUTO INDEX POSTED LOWER HIGH BUT STOCHASTIC FORMED A HIGHER HIGH. TECHNICALLY IT IS CALLED BULL SET UP. EARLIER WE HAD DISCUSSED THE SAME IN CASE OF CAIRN INDIA AND IT SUCCESSFULLY DELIVERED. AGAIN BULL SET UP IS CLEARLY VISIBLE IN CNX AUTO CASE. THE INDEX WITNESSED A DECLINE AFTER BULL SET UP AND TESTED SUPPORT AREA AROUND 4500 LEVEL. NOW THE INDEX FORMED A DOJI. SO WE EXPECT TREND REVERSAL IN AUTO INDEX AND THE INDEX MAY COMMENCE ITS SHORT TERM UPTREND. THE POST IS FOR STUDY PURPOSE ALTERNATIVELY TRADERS CAN TAKE POSITIONS IN SELECT AUTO STOCKS TO CATCH THE MOMENTUM. 

BANK NIFTY OPTION STRATEGY

BANK NIFTY WITNESSED A SHARP CORRECTION RECENTLY PARTICULARLY DUE TO  HEAVY SELLING IN PSU BANKS. BANK NIFTY IS NOW HANGING AROUND ITS UPTREND LINE AND FINDING SUPPORT AROUND 11300 LEVEL ON A CLOSING BASIS. FURTHER ON INTRADAY BASIS IT IS FINDING SUPPORT AROUND 11000 LEVEL AND WITNESSING RECOVERY. CONSIDERING THESE FACTORS AS WELL AS MODERATE BULLISH INDICATORS WE ARE OF THE OPINION THAT BANK NIFTY MAY TRY TO KISS 11750-11800 LEVELS IN SESSIONS AHEAD. 

BUY BANK NIFTY 11800 JULY CE @ 138 SL 50 TGT 240-290

CNX MIDCAP 12513

CNX MIDCAP IS NOW FINDING RESISTANCE AROUND ITS UPTREND LINE i.e. AROUND 8050 LEVELS. CONSECUTIVE WEEKLY CLOSES ABOVE 8050 MARK WILL ADD GREAT FIRE AND THE INDEX SEEMS TO BE SET TO KISS 8800 MARK IN A MEDIUM SHORT TERM. 

CNX METAL 4513

METAL STOCK DIDN'T PARTICIPATE IN THE RECENT RALLY AND SO FAR THEY HAVE UNDER PERFORMED THE BROADER MARKETS. HOWEVER DURING RECENT PAST METAL INDEX FOUND GOOD SUPPORT IN 2110 ZONE AND WITNESSED BOUNCE BACK FROM THE SAID LEVEL. A MODERATE BULLISH CANDLE FOLLOWED BY COUPLE OF DOJIs AROUND SUPPORT AREA INDICATE A POSSIBILITY OF BOUNCE BACK. WITH OTHER INDICATORS TOO LOOKING POSITIVE WE EXPECT METAL INDEX MAY SHOW STRENGTH IN COMING WEEK AND METAL STOCKS MAY SHINE. MINOR HURDLE AROUND 2265 AREA WHICH ONCE CROSSED ON A CLOSING BASIS, THE PROBABILITY OF THE INDEX KISSING 2370-2400 MARK IN A NEAR FUTURE CANT BE RULED OUT.