NIFTY BANK

Bank Nifty started the week on a flat note and traded with extreme volatility on either side for most part of the week. however buying momentum at lower levels pulled the index higher to close on flat note.

On the weekly chart the index has formed a "Doji candlestick formation indicating indecisiveness amongst market participants regarding the direction.

For the week, we expect Bank Nifty to trade in the range of 39500-37500 mixed bias.

However if index breaks below 38700 level it would witness selling which would take the index towards 3800-37500.

The chart pattern suggests that if Bank Nifty crosses and sustains above 39500 level it would witness buying which would lead the index towards 39800-40400 levels.

The weekly strength indicator RSI is moving upwards and is quoiting above its reference line indicating positive bias.