Bank Nifty Analysis for 14-08-2024: Support & Resistance Levels

8月13日

On August 13, 2024, the Bank Nifty Index experienced a volatile trading session, opening at 50,417.10, reaching a high of 50,547.30, and dipping to a low of 49,793.50 before closing at 49,831.85, down 1.48% from the previous close. The sharp decline was influenced by broader market sentiments, particularly due to the impact of negative news, including concerns raised by a recent Hindenburg report, which added to the selling pressure across the financial sector.
The Indian stock market faced additional pressure due to a new report from Hindenburg Research, which leveled serious allegations against the SEBI Chief. This news created uncertainty in the market, leading to cautious trading and profit-booking, particularly in the financial and IT sectors. The impact was evident in the market's muted performance, with many investors staying on the sidelines awaiting further developments.
Technical Indicators for Bank Nifty:
Max Pain: 50,100
PCR (Put-Call Ratio): 0.54 Bearish
IV (Implied Volatility): 21.51 as of the closing on 13-08-2024.
Support Levels
Bank Nifty is expected to remain under pressure with key support levels around 49,650 and 49,300.
Resistance Levels
If the index sustains above these levels, a pullback towards the resistance levels of 50,100 and 50,400 is possible.
Top Gainers:
Kotak Mahindra Bank (+1.2%) and HDFC Bank (+0.8%) showed resilience amid the decline, benefitting from strong quarterly results and robust asset quality.
Top Losers:
IndusInd Bank (-2.9%) and State Bank of India (-2.5%) were among the biggest losers, primarily due to profit booking and concerns over loan book quality amid the negative sentiment.
Open Interest (OI) Analysis and Technical Indicators:
For August 14, 2024, the Bank Nifty is expected to remain under pressure with key support levels around 49,650 and 49,300. If the index sustains above these levels, a pullback towards the resistance levels of 50,100 and 50,400 is possible. However, breaking below the support could see the index testing lower levels around 49,000.
Technical indicators show a bearish bias with the Relative Strength Index (RSI) displaying a downward trend, indicating a continuation of selling pressure. The Moving Average Convergence Divergence (MACD) also suggests bearish momentum, with a crossover below the signal line. Open Interest (OI) data reflects an increase in bearish bets, with higher put writing at 49,500 and 49,000 strikes, indicating traders' expectation of further downside.
Stay tuned for more updates on Bank Nifty prediction to navigate the volatile market conditions effectively.
Disclosure: The publisher of this idea is not a SEBI registered analyst. The information shared here is solely for educational purposes and should not be interpreted as financial advice. Always consult with a qualified financial advisor before making any investment decisions. The publisher does not endorse social media shares on any platform.