MTECHTIPS

MTECHTIPS:-BANK NIFTY
The Bank nifty continued its southward journey, as the index slipped further on sustained selling in the banking stocks. Traders were seen booking profits in banking stocks at higher levels,  bank index slipped sharply intraday to test the supports of 10000, but regained from lows to close with small losses below 10200 levels. Inflationary fears were the major reason for the participants to book profits in longs. Any dip below the levels of 10000 will be very weak signal for the markets in coming days. The index has  crucial  resistance above 10400 levels, and if the Bank nifty holds above these levels, we may test levels of  10600 and above also. With the F&O expiry this today we expect volatile moves in the index and if it manages to hold on to the supports,we may witness some consolidation. (view maintained)