Nifty Bank

Banking stocks may underperform!

Nifty has been quite volatile these days and it has almost achieved my target of 8720 before 2 days but now we are not getting any clear sign of trade on either side. But Nifty Banks index is showing some pattern on daily chart which is an upward slopping channel as marked in chart. But currently we are into ebbs of major trend wave which means we are into some profit booking. Stock specific trades in banking are still looking good but index may weaken to lower channel support which comes around 18150. May be its risky to have a naked position so may be i would buy a 18600 CE and 18500 PE and stay safe until expiry. So next two sessions remain crucial for stock market but would recommend to have a safe strategy to traders

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