Points which I will cover:
1) Negative divegences - How they are still bullish
2) Fibonacci levels
3) Possible movement in the upcoming week
- Negative Divergences
Higher high on RSI and Lower high on price are clearly visible on the chart however, it is utmost important to notice the breakout in the falling RSI trend. It is favourblet to assumer that the recent fall on BNF was just a pull back in a bull trend.
- Fibonacci Levels
a)The recent fall of BNF to 29000 was also a corrective pull back on larger trend. 29000 was the first 23.8% fibonacci level ( Lows of October and highs of december)
b) On 24th dec, bank nifty also touched its 78.6% retracement level from the highs of 30900 to the lows of 29000 - Bullish sign
- Possible movement
1) small pull comes to the green mentioned area and then bounces back to 30500 & 30900
2) If 30900 is broken significantly, then early signs of elliot wave formation can considered with very high targets upto 31400, 32400 & 33650
1) Negative divegences - How they are still bullish
2) Fibonacci levels
3) Possible movement in the upcoming week
- Negative Divergences
Higher high on RSI and Lower high on price are clearly visible on the chart however, it is utmost important to notice the breakout in the falling RSI trend. It is favourblet to assumer that the recent fall on BNF was just a pull back in a bull trend.
- Fibonacci Levels
a)The recent fall of BNF to 29000 was also a corrective pull back on larger trend. 29000 was the first 23.8% fibonacci level ( Lows of October and highs of december)
b) On 24th dec, bank nifty also touched its 78.6% retracement level from the highs of 30900 to the lows of 29000 - Bullish sign
- Possible movement
1) small pull comes to the green mentioned area and then bounces back to 30500 & 30900
2) If 30900 is broken significantly, then early signs of elliot wave formation can considered with very high targets upto 31400, 32400 & 33650