Bank NIFTY Near term Outlook - Follow Up

Bank NIFTY has cracked from 20000 odd levels towards 18600 almost 8% (in 2 weeks) approaching near support zone. Its is advisable to close short positions at these levels for near term which was recommended in previous post (http://swing-research.blogspot.in/2015/03/bank-nifty-medium-term-outlook.html).

Daily Chart

The Key Support & Resistance levels Bank NIFTY for the near term are as follows:

S - 18600/ 18478/ 18220/ 18030 - 50
R - 18820/ 19025/ 19180/ 19505

Trade Setup:

Setup 1:  

Trend traders can sell Bank NIFTY below 18600 with stop loss of 18830 for targets 18250 - 18100 levels. 

Setup 2:

Counter trend traders can chance by taking long positions around current levels (18600) with 18480 strict stop loss for targets of 18820/19030

18600 below 18050 can be tested in Bankex, where Buying can be done with 17800 as stop loss.

Expected intermediate bottom near 17500 June 2^nd Week 2015 and final bottom could be around September 2015 around 14800 – 15200 odd levels expected to retrace 50% of Wave 3

Raju V Angadi

Equity Research Analyst

Note: Short Term counts and key levels have been hidden purposefully.

To Learn simplified objective approach applying Advanced concepts of Elliot Wave Theory in conjunction with Dow Theory & Psychological traits to trade with some common sense & optimize your investment / trading decisions contact on:

 rvangadi@googlemail.com  (OR) +91 78291 55900

Note: This report is for educational purpose and the specific levels have not been mentioned.