BankNifty To See Downfall On RBI Announcement Of Incremental CRR, Go Short Until Nifty Closes Above 8120

Last Trading Session: Exactly as predicted by EquityPandit, Indian Stock Market opened gap positive for the day. EquityPandit predicted that Indian Stock Market would start New F&O contracts with a sharp bounce back. Indian Stock Market moved sharply positive and saw highs right near EquityPandit’s predicted reversal levels of 8120 levels like a dot. BankNifty also saw highs right near EquityPandit’s predicted resistance levels of 18540 like a dot. Finally, Indian Stock Market closed gap positive for the day.

Today: Indian Stock Market would open gap negative. Indian Stock Market is still in negative zone. RBI has introduced Incremental CRR at 100 percent to control the excess liquidity in the market. This is a big negative news for the banking sector as they would have to pay interest of 4% to the customers for new deposits while banks would not get any interest on it from RBI. BankNifty would react to this news and would see a downfall. EquityPandit already suggested traders to go short at every positive movement if Nifty doesn’t closes above 8120 and same happened. Nifty closed below EquityPandit’s suggested levels and hence traders who shorted in the market might get good chance to book huge profits today. Traders should continue to short at every positive movement until Nifty closes above 8120 levels and BankNifty closes above 18700 levels. Market would be considered as taken reversal only if it close above these levels and traders should initiate long positions only if the reversal take place.
FIIs were net sellers of Rs.372.88 crores whereas DIIs were net buyers of Rs.997.84 crores in cash market for last trading session. Nifty would see strong support at 8050-7997-7975-7935-7897 whereas strong resistance would be seen at 8120-8154-8200-8220 levels. Since, EquityPandit’s support and resistance levels always meet accuracy; hence traders are suggested to follow them for good profits.

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Important Results To Be Disclosed Today: Cox & Kings, HFCL, Oil India Ltd, Sadbhav Engineering and Timken India Ltd.

NSE Nifty: (8114) The support for the Nifty is 8050-7997-7975-7935-7897 and the resistance to the up move is at 8120-8154-8200-8220 levels.

NSE BankNifty: (18507) The support for BankNifty is at 18368-18284-18140-18050-17980 and the resistance to the up move is at 18540-18690-18780 levels.

BSE Sensex: (26316) The support for the Sensex is at 26180-26124-26060-25870-25760 and the resistance to the up move is at 26349-26450-26540-26622 levels.

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