Banknifty prediction for tomorrow 1 March 24

29 Feb

As we discussed yesterday, bank nifty took support at 45600 and then moved back to the bullish side with huge volatility.
If we look at the chart data:
The market is trading below the 200 EMA-(30-min TF). which may provide a good resistance at this point. 45700 has proven to be a good support zone. RSI still needs more strength to get a good bullish momentum.

If we look at the OI data:
PCR = 0.82, which shows the market's bullish sentiments. 46000 is going to be MAXPAIN. There is good resistance to CE shorting at each upper level. However, there is not much OI build-up on the lower side.

I am expecting the market to take a bearish momentum till 45700, and then it will take support and pull back stronger.

Reasons:

1. 200 EMA > Price > EMA(13), which shows the market has bullish sentiment but not enough strength to make a good bullish move. (sideways)
   
2. 200 EMA is going to provide good resistance at this level for now. (sideways)
   
3. RSI is in the range of 40-60, which is mostly sideways. (sideways)
   
4. The last two candles show a heavy fight between bulls and bearish. (sideways)
   
5. Price >= VWAP, which shows that price is balanced with volume. (Bullish)
   
6. PCR = 0.82, which shows the market's bullish sentiments
   

Verdict:
Sideways

Plan of action:
Make a bull position once the market takes support at 45700.