BANKNIFTY weekly outlook 7 to 11 April 2014
BANKNIFTY daily chart technical analysis
BANKNIFTY spot on last trading session closed with gain. On daily chart, index price trend and momentum is strong bullish. BANKNIFTY has created top around 12,880 and now going through correction as investors booking some profits.
For next week, BANKNIFTY support zones are 12,400, 12,220 and 11,995 while on upside 12,650 and 12,870 are strong resistances.
On indicators and oscillators, MACD is above zero but with corrective pattern. RSI is 59 and heading towards 50 for support. CCI is +71 and off the overbought zone.
Traders below 12,870 keep sell on rise view for correction up to 12,400 to 12,200. Major average support is at 11,350 and if environment turn bearish then that will be short-term target for banknifty.
BANKNIFTY weekly chart technical analysis
BANKNIFTY spot this week closed with loss. This week BANKNIFTY spot hit high at 12870 while low as at 12430. Total almost 450 points swing or 3.5% weekly range and closed with loss as profit booking hit the market.
From medium to long-term view, 12,400 and 11,800 are downside supports while 12,950 and 13,500 are resistances on upside.
On indicators and oscillators, MACD is above zero and with bullish divergence. RSI is at 67 and near overbought zone while CCI is +110 and with fresh sell signal on weekly chart.
10,800 is major average support and above it, BANKNIFTY long-term bull trend will remain intact. On deeper correction, this will be target for BANKNIFTY on downside.
By price patterns and indicators, BANKNIFTY is signaling topped out stage and may show lower levels in upcoming weeks. Traders use put option to encash this correction but with strict stop losses in place.