Bank Nifty looks tired in 30-mins Heikin ashi chart

Bank Nifty is the main index which got impacted heavily because of rupee’s volatility. The last four days rally took the index from it’s 52 weeks low of 8,366.75 to 9,233.60. The Heikin ashi chart is showing the trend is getting weaker or looks tired in the chart. That means, it is highly unlikely for Bank Nifty to continue the uptrend in the short term.

Bank Nifty is showing tiredness in 30mins Heikinashi Chart
Bank Nifty is showing tiredness in 30 mins Heikinashi Chart

In the other had Nifty has show strong close above the 5500 levels. However post afternoon session was showing some kind of consolidation even in Nifty. If Bank Nifty reverse tomorrow morning, then it is highly likely that it have profit booking which may go all the way to 8,700 levels. The other indicators such as RSI, MACD and Momentum indicators are also started showing negative trend.

One can short, Bank Nifty below 9,100 with target of 8,700 by keeping stop-loss at 9,230 levels.

Muthuraj Paulraj

Passionate about investing and trading in Options.