MTECHTIPS

MTECHTIPS:-BANKNIFTY
The Bank nifty gained on sustained buying at lower levels, and the gains were strengthened as weak shorts exited their positions. Traders were seen  accumulating beaten down banking counters in early trade, but the optimism was short lived and profit taking creped in at the final hours. 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.  Overall trend in banking counters is of profit taking, any move in the bank nifty below the supports of 10000 will open up crucial supports of 9800 in the index in the short run. Clients are advised to avoid longs at current levels and wait for clear trend before taking aggressive positions. (View maintained)