Bank Nifty November Futures (52,190)

Bank Nifty index has seen a strong surge now after starting the day on a stable note. The index is now trading at 51,910, up 0.68 per cent. The advances/declines ratio is at 6:6. If this turns in favour of the advances, then the index can rise further during the day. We will have to wait and watch.

Bank Nifty outlook

The strong surge above 51,800 is a positive. Intraday resistance is around 52,100 which can be tested now. A break above 52,100 can take the index further higher to 52,500 in the coming sessions.

On the other hand, if the index fails to breach 52,100 and turns down, it can fall back to 51,800 again.

So, the price action around 52,100 will need a close watch today.

Bank Nifty Futures

The Bank Nifty November Futures (52,190) is up about 0.8 per cent. The contract has risen well above an intraday resistance at 52,050. If it continues to sustain this break, a further rise to 52,550 is likely in the coming sessions.

Support is in the broad 51,900-51,800 region. The contract will now have to fall below 51,800 to become bearish. Only then a fall to 51,300-51,200 will come into the picture again.

Trade Strategy

Wait for dips. Go long at 52,070 and 51,930. Keep the stop-loss at 51,860. Trail the stop-loss up to 52,120 as soon as the stock goes up to 52,210. Move the stop-loss further up to 52,220 when the contract touches 52,290.  Exit the longs at 52,350.

Support: 51,900 and 51,800

Resistances: 52,500 and 52,800

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