Nifty:

Analysis is plain and simple. We are bullish on all time frames. So any sensible trade would be on the long sides as we have a strong weekly support at 22200. As we have been forming ATHs in the past 3 weeks there could be profit booking at any point and we might see a huge sell off as well. Light trading is considered best in this kind of situation. As today is market holiday and it coincides with monthly NFP data release date we have not carried any positions into the weekend. Just to add one more, we have CPI data release on Tuesday. So this week could be off high significance. We are still maintaining our positive bias with high caution.

Banknifty:

This week is very very crucial for banknifty as we are on our upside resistance of 48300 which we have been warning about for the past 3 weeks. If we breakthrough that and close above we have a bright few weeks thereafter. If we struggle to move higher then we could see a massive sell off. Ideal trading situation would be to maintain neutral bias until 47400 is broken on the downside. If we break 47400 then we would be changing our view to more bearish. On the contrary even if we break 48300 on the upside, still ideal situation would be to maintain a neutral bias until the end of week.

~PR