Bank Nifty Analysis for 29 May

  • As discussed in last analysis  We saw the effect of Gann Time Cycle Low made was 17560 and bulls did all target on upside and bounced from gann angle. Now Bulls need to move above 18769 for a move towards 19000/19321. Bears will get active below 18496 for a move back to 18225/17956. All Bullish target done, Bulls need to move above 19200 for a move back to 19450/19600. Bears will get active below 19000 for a move back to 18850/18500.

  • Bank Nifty May Future Open Interest Volume is at 0.89 lakh with addition of 5 Lakh, with increase in Cost of Carry suggesting long positions were added today. Bank nifty Rollover cost @18001 closed above it
  • 19500 CE is having highest OI @2 Lakh resistance at 19500 followed 19000.18000-20000 CE added 6 Lakh in OI so bears added position in the zone of 19000-19300.
  • 18500 PE is having highest OI @3 Lakh, strong support at 18500 followed by 18300.18000-19000 PE added 2 Lakh OI so bulls making support in the range of 18300-18500.

Buy Above 19200 Tgt 19320,19470 and 19600 (Bank Nifty Spot Levels)

Sell Below 19000 Tgt 18850,18500 and  18225 (Bank Nifty Spot Levels)

2 thoughts on “Bank Nifty Analysis for 29 May”

  1. Sir one question on Bank nifty:

    We know that NIFTY Bank Index comprises of the most liquid and large Indian Banking stocks.The Index comprises of maximum 12 banks with HDFC Bank Ltd. (32.58), ICICI Bank Ltd. (9.6),Kotak Mahindra Bank Ltd. (14.99) and Axis Bank Ltd. (12.72). Techanically speaking it if these 4 banks are on up trend, then bank nifty index will rise and also Banknifty Future and vice versa

    But if we observe , many people on intraday basis do not invest on these banks but heavily trade on Bank nifty future or option…. So in this case does it not mean Banknifty future and options tradings people with their volume are moving the Banknifty rather than major banks HDFC Bank Ltd. (32.58), ICICI Bank Ltd. (9.6),Kotak Mahindra Bank Ltd. (14.99) and Axis Bank Ltd. (12.72)…. How does it work…

    Some one buys 50K lots of banknifty options or future.. So his volume is moving the Banknifty and not the major banks like HDFC Bank Ltd. (32.58), ICICI Bank Ltd. (9.6),Kotak Mahindra Bank Ltd. (14.99) and Axis Bank Ltd. (12.72)

    How does it work… Please advise

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