Bank Nifty opened higher today at 48,085.35 versus Tuesday’s close of 47,870.90. The index is now at 48,010, up 0.3 per cent so far today.
The advance/decline ratio of the index gives it a bullish bias as 10 out of the 12 stocks in the index have advanced today.
AU Small Finance Bank, up 5.1 per cent, is the top gainer followed by Bank of Baroda, which has gained 0.8 per cent.
Bank Nifty futures
Bank Nifty futures (December expiry) opened today’s session higher at 48,111.55 versus yesterday’s close of 48,009.80. It is now trading at 48,130, up 0.25 per cent.
The chart shows that Bank Nifty futures is held within the 47,800-48,300 range over the past few sessions. Hence, the next leg of trend remains uncertain at this point in time.
If Bank Nifty futures breaks out of 48,300, it will open the door for a rally to 48,800 or even to 49,000. But if it slips below 47,800, the downswing could extend to 47,200 or to 47,000.
Trading strategy
Stay on the fence as Bank Nifty futures is charting a sideways trend. Initiate fresh trade along the direction of the break of the 47,800-48,300 range.
Supports: 47,800 and 47,200
Resistances: 48,300 and 48,800