Nifty & Bank Nifty Prediction for Next Week 14-09-20 to 18-09-20


Last week Market traded in very short range of 11493-11185 and looking for direction. During intra day also we notice that market is struggling to sustain above 11500 but fail. Hence, for coming week also 11500 play as a major resistance for Index and above that we may see upside movement. And on lower side 111200-11100 is playing role of good support for index and therefore the moment market stats trading below 11100 we may see downside movement.

Weekly Chart of Nifty-50:-

On a weekly chart also we can see that how Nifty is struggling near to Long term Trend-line and fail to close above. On a weekly basis this trendline will play role of Resistance till Nifty remain below that line. For coming week also the bigger range would be 11100-11500 and we may see range bound trading session. But decisive breakout above 11500 or below 11100 can give direction to market. 

Option Chain Analysis of Nifty for Expiry of 17-09-2020:-

According to Option Chain data Strong Resistance in the range of 11500-11600 with highest call writing and support at 11200-11400 range with Highest Put writing. And that's why i am expecting range of 11100-11500 for next week. 

India VIX:-

Volatility Index is also trading near to 20 which is still high and if Nifty start trading above 11500 then we may see fall in VIX and if starts trading below 11100 then we may see rise in VIX. Put call ratio at 1.50 which is at high point and that is why we may see profit booking at upper side. 

How To Trade in Nifty for Tomorrow:-

Currently Market is in No Trade zone as far as it remain in the range of 11550-11200, and therefore contra trade is suggested. 

Buy Around 11200-11100 range with Stop Loss of 11050 for Target of 11300-11450.

Sell Around 11550-11600 range with Stop Loss of 11650 for Target of 11400-11300.

Bank Nifty:-

Bank Nifty is  showing weakness on weekly basis and facing resistance in the zone of 23000-22500 with strong support at 22200. Range of Bank Nifty is very clear with level to level with support and resistance in each 500 point gap. We are showing strength in Nifty that is just because of Reliance otherwise Nifty would be trading like Bank Nifty. Such combination is not good for trading point of view because it is not showing real picture of market. And therefore i would suggest to day trader to trade in Bank Nifty instead of Nifty. 

Weekly Chart of Bank Nifty:-

As per weekly chart we can clearly see how Bank Nifty is facing resistance near 22500-23000 zone. There is bearish candle since last two weeks which is not positive sign for market. And if we want to see upward rally then participation of Bank Nifty is must required. Majority of Private Sector banks have shown negative price action last week. And therefore next week would be very interesting because we may see that Whether Nifty push Bank Nifty Up or Bank Nifty push Nifty down.

According to weekly chart Trading range would be 22000-23000 and decisive move above 23600 on upside and 21000 on downside.

Option Chain Analysis of Bank Nifty for Expiry of 17-09-2020:-

Option Chain of Bank Nifty is reflection of Weekly chart with Resistance at 23000-23500 and support at 21500-22000. Hence, we may see Bank Nifty in bigger range of 21500-23500. Once it starts trading above 23500 then we may see upside movement towards 23700-24000. And on downside below 22000 we may see downside rally towards 21500.

How To Trade in Bank Nifty for Tomorrow:-

Short Bank Nifty in the range of 22600-22700 for Target of 22500-22400.

Buy Bank Nifty in the range of 22200-22000 for Target of 22300-22400-22500.

Thank You..

Happy Trading.
"Learn & Earn"...!!

(Disclaimers:- Above is my personal view on market for tomorrow. It is neither Paid service nor tip. Just for educational purpose only. Take your own decision before any trade).