Banknifty spot index this week closed at 16612. This was first weekly gain for banknifty after last 4 weeks continues selloff. On weekly chart, banknifty created bullish bar pattern suggesting buy signal for medium term investors.
This week banknifty spot hit high at 16781 while low was at 15762. Total 1000 pints weekly range or almost 6% volatility in week and positive closing on value buying.
For next week, banknifty major support zones are16170 and then 15200 while on upside 17640 is strong resistance and target level for recovery rally.
In between, 16770 and 17065 are strong resistance zones as well as near term targets while 16330 and 15950 are intermediate support zones and stop loss levels for long traders.
Expect high volatility in market on major economic decision from fed. Banknifty might show larger range in next week. For fresh buyers as well as investors 15200-15500 is safe entry zone with stop loss for target 17k+.