bank nifty weekly forecast for 15 to 19 june 2015
Bank nifty spot on last trading session closed at 17523 with gains. On daily chart bank nifty had given bounce back from oversold area. We saw fresh low this week at 17174.
Banknifty daily chart price trend and momentum both are bearish. Index is trading way below short term averages with oversold daily chart indicators. 17970 is 1month average resistance and 18330 is 3 month average resistance on daily chart. On downside 16730 is final support as well as target zone for next week. If bank nifty gives reversal from this support then it will be best buy opportunity from short as well as medium term view. For upside target of 17800 to 18300.
Any daily closing below 16730 with price and volume means another bear market breakout with much downside target for this index on panic selling or margin calls. In that case, 16200 and 15250 target will open for this index.
Bank nifty this week closed with loss. This was second weekly loss for this index after last week sharp selloff. This week bank nifty high was at 17821 while low was at 17174. Total 600+ points weekly downward swing and closed near highs on short covering in last trading sessions.
For next week, bank nifty future strategy will remain sell on rise with stop loss above 18250 for downside target of 16750 and below in short to medium terms. For bank nifty option use same strategy for next month 18000 put options with same stop loss in place.