There is two big news out in the market in between long weekend:-
1. Farm laws: India PM Narendra Modi repeals controversial reforms 2. Reliance, Saudi Aramco call off proposed investment deal
#Banknifty has corrected 4081 points in the last 4 weeks, which proves the market knows everything in advance.
Any panic on Monday must be bought in, bad news out of the market.
Now back to analysis:- Swing of 30,405 to 41,829, 38.2% retracement comes to around 37,465 and 100 DMA is placed in 36,969 (100 DMA is hardly breached in the market in last 1 year)
Till the time market is above 34,769 nothing to panic about for long-term investors.
Falling wedge signifies price contraction and a decisive move is on cards.
When will be BankNifty out of woods:- closing above 38,450?
Panic shakes up the weak hand out of the market and smart money comes in during panic.