Bank Nifty October Futures (51,550)
The Bank Nifty index has risen back well above 51,000 again. It is now trading at 51,488, up 1.38 per cent. It is now important for it to sustain this rise and get a strong follow-through buying from here. Only the danger of falling back below 51,000 will reduce. The advances/declines ratio is at 10:2. This is positive.
Bank Nifty outlook
Bank Nifty (51,488) will now find support at 51,000 again. A rise to 51,800 looks possible now. A break above 51,800 will then take the index further up to 52,000-52,200 going forward.
Failure to breach 51,800 can drag the index down 51,300 and 51,000 again. The price action around 51,800 will need a close watch in the coming sessions.
Bank Nifty Futures
The Bank Nifty October Futures (51,550) is up 1.38 per cent. The contract can rise to 51,900 from here. A break above 51,900 can take if further up to 52,200 and 52,400. But a reversal from around 51,900 can drag the contract down to 51,500 and 51,300 again.
Trade Strategy
Though there is room to rise from here, there is a danger of a reversal from current levels itself. So, we suggest traders to stay out of the market today.
Support: 51,300, 51,000
Resistances: 51,900, 52,200