Bank Nifty is showing sign of breakout on upside. So I thought to compare the prices of main BNF stock and BNF when it hit the same level last three times.
BNF was near 37200 on 22/2, 14/2 and 24/1.
So I prepared the following table.
BNF was near 37200 on 22/2, 14/2 and 24/1.
So I prepared the following table.
For arriving at the performance, taken the average price of last three mentioned dates and compared it with CMP.
We can see the ICICI Bank & Kotak bank are underperforming while SBI & Axis Bank is leading the rise with HDFC being neutral. So we can say that the rise in BNF
We can see the ICICI Bank & Kotak bank are underperforming while SBI & Axis Bank is leading the rise with HDFC being neutral. So we can say that the rise in BNF
is mainly lead by second rang banks. Means a large chunk of them performing together on upside to take care of underperformance of ICICI and Kotak Bank. So its a clear sign of buying in BNF Index stocks across the board. Now lets do some OC analysis of Kotak and ICICI Bank.
Plz note, we have just started the series so doing OC is a bit risky here because of high Option prices, but lets do it.
We start with ICICI Bank.
ATM Straddle (740) is priced at Rs 44 points, giving a range of 740+44 = Rs 784 on upside and 740-44 = 696 on downside.
We start with ICICI Bank.
ATM Straddle (740) is priced at Rs 44 points, giving a range of 740+44 = Rs 784 on upside and 740-44 = 696 on downside.
Below is the Hourly chart of ICICI bank and if we draw AVWAP from high of Rs 840/- , the HAVWAP comes at Rs 751 level. CMP is at 736. So for me if ICICI Bank starts to trade above 751, then expect good SC on ICICI Bank also.Till it trades between 736-751, i will avoid bullish bet
One AVWAP is also drawn for the recent low of Rs 645 , and it comes around 701. So I will avoid bearish bet till it trades from 701-736. So net net 701-751 is no trade zone on ICICI bank for me. The straddle range was Rs 784-Rs 696, so break of Rs 696 will trap both the straddle
seller and anyone who went long from recent low.
Now lets move to Kotak Bank.
The straddle (1780) is prices at Rs 108, giving us a range of 1780-108 = 1672 on downside and 1780+108 = 1888 on upside.
Now lets move to Kotak Bank.
The straddle (1780) is prices at Rs 108, giving us a range of 1780-108 = 1672 on downside and 1780+108 = 1888 on upside.
The highest AVWAP from 2225 level is around Rs 1862 and CMP is Rs 1786 while AVWAP from recent low is Rs 1753. I expect kotak Bank to give good breakout above 1830. Now here one more thing, the stake sale on 24/3, AVWAP from that day comes to Rs 1736. Kotak is trading above 1736
and this is actually a bullish sign for the stock. If I have to play one stock for bullish move between kotak and ICICI , then kotak will be my preferred choice. It wont be a plain buy trade but will be using other data to trade.
I dont trade stocks and will not trade any of the stocks mentioned above. Just did the BNF and stock analysis to know what is leading this rise and how much strength it has got.
You can go on run the same set up on other stocks to find the trades.
Rest your money , your risk.
You can go on run the same set up on other stocks to find the trades.
Rest your money , your risk.
Loading suggestions...