Banknifty Analysis 30.3.2020

Banknifty 5 Min Intraday Chart 30.3.2020
Banknifty 5 Min Intraday Chart 30.3.2020

Open 19254 High 19716 Low 18668 Close 18782

Banknifty opened with a huge gap down of 715 points at 19254 levels and touched a low of 19065 on the first 5 minute candle. Banknifty took support at crucial support levels of 19000 and rallied 643 points from morning lows to touch a day high level of 19716 a around 10.45 am.

As expected Banknifty faced heavy resistance at 19700 levels and trended downwards for the rest of the day. Banknifty fell 1026 points from day high levels to touch a new day low level of 18668 at around 2.45 pm. The downtrend was so strong that price never close above 21 ema on a 5 minute timeframe

Banknifty recovered around 180 points from day low levels to close the day at 18782 down 1186 points or 5.94 percent.

Banknifty is highly volatile these days. Trading these kinds of volatile markets is very difficult. Banknifty is not breaching the recent low levels of 16100 levels the level of 16100 can be treated as a temporary bottom.18500-19000 will act as important support levels while 21000 – 21500 levels will act as a stiff resistance level.Banknifty will gain upside strength only above 22000 levels.

Market Breadth Banknifty

Advances 2 Declines 10

The biggest loser among Banknifty index was Bandhan Bank down 14.65 percent  and highest gainer was Axis Bank up 2.35 percent.

FNO Data Analysis

Banknifty April Futures are trading at a discount of 17 points.

For April 1 expiry

Highest open interest Call side is at 22000 ce around 2.79 lakh shares

Highest open interest Put side is at 18000 pe around 1.86 lakh shares

Huge amount of call writing at 23000 ce means 23000 will act as strong resistnace level for Banknifty

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