Bank Nifty to remain weak - Finquest

Bank Nifty witnessed a gap-up opening for the week and edged higher but encountered resistance at 10117, on failing to breach above which prices plunged. Index thereafter plunged and traded weak marking intraweek low at 9960, before settling the weak down by ~1.8% at 9816.

Bank Nifty traded weak during the week hitting fresh 14-month low thus forming a bearish weekly candle. Nifty though stabalised after hitting the low but showed no significant sign of reversal. Thus on back of weak upward momentum the overall view remains negative. Going ahead move above 9850-9900 would enable index to bounce towards 10000-10200, however failure to do so would continue the weakness whereby support is seen at 9600.

The supports for the day are at 9700 breach of which could take index lower towards 9600-9500 levels. Towards upside 9900 would act as resistance, above which could edge higher towards 10000-10100 levels.

Resistance on upmove is seen at 9850, breach above which enable Bank Nifty to surge, else would remain weak.

Source : Equity Bulls

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