Let us analyse BankNifty on 8th Dec 2016. Bank Nifty opened gap up after the 100% CRR was removed by RBI from the 10th Dec. Also, overnight rally in the US helped the sentiment. On the global front, there was also expectation that the ECB would extend its bond purchasing program.
Bank Nifty found support at around 18375 and 18430 region. The immediate resistance of 18550 acted as a resistance. The Bank Nifty traded in a small range with a positive bias.
Traders could have taken a long position at point 2 to make a small gain of around 100 points.
What caused the market up?
- Positive global cue
- Strong INR against dollar
- 100% CRR removed by RBI to provide liquidity to the bank
- Optimism regarding extension of bond repurchase program by ECB without any tapering
- Statement given by the Finance Minister regarding increased government capex in the forthcoming budget.
For the day, Bank Nifty formed a bullish candle.
Bank Nifty Opening:
Bank Nifty Closing:
High of the Day:
Low of the Day:
Percent Change:
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