Gold Price Forecast for Next Week
Can Bank Nifty extend its winning streak for sixth straight day?
Last Updated: 14th December 2022 - 05:27 pm
The Bank Nifty extended its winning streak for the fifth straight session on Thursday as it gained 0.64% and it also, outperformed Nifty 50. It managed to close above its prior swing high and the previous day's high as well. It has formed a bullish body candle on the daily chart with shadows on both the side, which indicates a tinge of volatility during the day. After breaking out of the first level of downward channel resistance, it closed at the next level of sloping line resistance. It is above all key short-term and medium-term averages i.e. 20, 50 and 100. Interestingly, the 20DMA has crossed over 50DMA. The long-term moving average, 200DMA, which is currently placed at 36426 i.e. 200 points away from the close may act as immediate resistance. The daily 14 periods RSI is near the over-bought zone. The MACD is in strong bullish momentum. The Weekly MACD has given a fresh buy signal. But, on the lower time chart, 75-minutes, The MACD is showing exhaustion of a trend and is in overbought condition. It may lead to some profit booking. In case of profit booking, identical low of previous two trading session might act as a support level which stands at 35870. It is better to be with a cautiously optimistic view in the near term as it's Friday and traders might likely to go home with light positions.
Strategy for the day
Bank Nifty made indecisive moves in the afternoon of an expiry day. A move above 36426, is positive, and it can test 36670. Maintain a stop loss at 36110. Above 36670 continue with a trailing stop loss. But a move below 36090 is negative, and it can test 35870. Maintain a stop loss at 36200. Below 35870, continue with a trailing stop loss.
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