Bank Nifty holds above crucial support at 12500 - Aditya Birla Money

Bank Nifty traded weak closing in the red albeit holding above the crucial support at 12500.

A breach below 12500 would lead to further weakness creeping in towards 12250-12200 levels.

A breach below 12500 would also lead to breakdown from a Bearish Double Top. Measuring implications from the pattern indicate a fall of almost 400 points towards 12100 levels.

While on the other hand if 12500 holds, the index could once again edge higher towards the upper end of the range at 12900 in coming days.

Daily momentum has given a negative crossover after failing to breach past 65 zone and is now in sync with declining weekly momentum. Thus a breach below immediate support at 12500 would confirm the weakness being indicated by the momentum indicators and push prices lower.

Source : Equity Bulls

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