Banknifty Best Intraday View for (17 July,2023)

Introduction

In Banknifty Best Intraday view series we are discussing daily the major levels , structures on different timeframes, price-action on charts , Swing trading patterns , intraday trading strategies and more. We are identifying major trend which helps in taking trading decisions for Intraday trading and swing trading. Lets see current trend on different timeframes on chart.

Banknifty current trend – Daily TF

Banknifty Daily chart

Daily Timeframe – Price – 44818 – Support zone – 44150-44475 .We can see that the trend of Banknifty on Daily timeframe is uptrend. Prices making higher lows on the price chart. Current price is 44665 and trading near trendline support. Prices bounced support zone of 44150-44475.

Banknifty Current Trend – Hourly TF

Banknifty Hourly chart view

We can see that the trend of Bank nifty on Hourly timeframe is downtrend. Prices making Lower highs on the price chart. Prices are near Daily Timeframe support zone of 44150-44475. Recent swing high is around 45090 , which can act is an immediate resistance. On hourly TF , banknifty has formed a bullish flag pattern . If we get a confirmation of brekout on this bullish pattern , may take a positional swing trade.

Banknifty Trade Setup – Intraday Traders

For day trading , we will see what is the trend .

Daily Timeframe – Up trend

Hourly Timeframe – Downtrend ( with a double bottom formed at Support zone on Daily Timeframe chart – reversal may seen from here – confirmation needed ).

  1. If prices rising after opening – On hourly chart , we can see prices formed a double bottom at support zone. But the immediate resistance is around 45090 . So for day trading we should not go long until prices trading above 45090-45100 as it may declines from that levels. Better to watch price action patterns at this level like double top , or a inverted hammer , or a bearish engulfing pattern to take short trade.
  2. If prices declining after opening – If prices declines after opening we should follow the trend following system and take the short trade to stay with the trend. Use different day trading strategies for this view to take trades.

Summary

Day Traders – Hourly chart shows downtrend . Look for short trades intraday. Immediate resistance is 45080-90 ( spot ) ,till then ,if prices rise on 5m chart , look for any reversal pattern like bearish engulf , inverted hammer , double top , to take short trade . If prices declines , then take short trades with continuation pattern like down ORB , or a downside breakdown after small consolidtion.

FAQs

1. What is Banknifty? Banknifty is an index of the National Stock Exchange of India (NSE) that represents the performance of the banking sector in the Indian stock market.

2. How is Banknifty different from Nifty? Banknifty is specifically focused on the banking sector, while Nifty is a broader market index representing the overall performance of the top 50 stocks across different sectors in the Indian stock market.

3. How is the Bank nifty index calculated? The Bank nifty index is calculated using the free float market capitalization weighted methodology, where the level of the index reflects the total market value of all the stocks in the index relative to a particular base period.

4. Which banks are included in the Bank nifty index? The Banknifty index includes the most liquid and large-cap banking stocks listed on the National Stock Exchange of India. Some of the prominent banks included are State Bank of India, HDFC Bank, ICICI Bank, Axis Bank, and Kotak Mahindra Bank.

5. What is the significance of Bank nifty for traders and investors? Banknifty provides a benchmark for traders and investors to gauge the performance of the banking sector in the Indian stock market. It allows them to track the overall trend and volatility of bank stocks, helping them make informed trading and investment decisions.

6. How can I trade Bank nifty? Bank nifty can be traded through various financial instruments, including futures contracts and options. Traders can take positions based on their market outlook by buying or selling these derivative contracts.

7. Are there any specific strategies for trading Bank nifty? Yes, there are several popular trading strategies for Bank nifty, such as options trading strategies like straddle, strangle, and butterfly spread. These strategies involve taking positions in options contracts based on anticipated price movements in Bank nifty.

8. How can I stay updated with Bank nifty’s performance? You can stay updated with Bank nifty’s performance by following financial news websites, market analysis reports, or subscribing to newsletters that provide regular updates on the banking sector and stock market.

9. What factors can influence Banknifty’s movement? Banknifty’s movement can be influenced by various factors, including interest rate changes, economic indicators, government policies, global market trends, and quarterly financial results of the banking sector.

10. Can I invest in Banknifty directly? No, you cannot invest directly in Banknifty as it is an index. However, you can invest in the individual stocks that make up the Banknifty index if you are interested in banking sector investments.

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