End of Day Analysis 09.08.2018 – Nifty, Bank Nifty and Stocks

Nifty is close to 11500!!!

Bank Nifty at 28300!

Is there any more steam left in the rally???

Here’re the key takeaways from today’s trade:

  • Nifty opened and stayed above 11450 all throughout the day.
  • Nifty made an intraday high of 11495.
  • Nifty closed at 11470. Bank Nifty is at 28300.
  • ICICI Bank went up nearly 5% today. SBI also went up more than 2%. This is what pushed Bank Nifty and Nifty up. Notably, HDFC Bank and Kotak Mahindra Bank were down nearly 1% each.
  • Bharti Airtel went down nearly 5%. Cipla, Titan, ONGC were down 2% each.

Where do we go from here?

  • Support 1, 2 and 3 are 11462, 11454 and 11444 on hourly chart.
  • Resistance 1, 2 and 3 are 11481, 11490 and 11499.
  • Since Nifty is close to 11500 and consolidating, you can buy an OTM put. In case of a correction, you will make money.
  • The same strategy can be applied to Bank Nifty.
  • In stocks, Banking stocks are outperforming so you can buy them.

Buy and sell with caution as markets are at all time highs. Hedge all your trades and do proper risk management.