Bank Nifty is currently trading between two gaps.
While the upper gap will act as a stiff resistance the lower gap (even bigger gap) will act as a strong support.
In near terms, although it has a bearish insight it should not cross the lower gap.
So, long trades (if taking a contrarian view) should be taken with strict stop-loss.
Guess, the trend will mature in coming one or two days.
Till then be cautious.
While the upper gap will act as a stiff resistance the lower gap (even bigger gap) will act as a strong support.
In near terms, although it has a bearish insight it should not cross the lower gap.
So, long trades (if taking a contrarian view) should be taken with strict stop-loss.
Guess, the trend will mature in coming one or two days.
Till then be cautious.
The trend is supposed to be waiting for US rate hike outcomes...
My advice don't initiate any long trade now, let it test the downfall of another 300 pts.
Disclaimer : this is my personal views. Use your own judgements before taking any trade (as the profit or loss is entirely yours :) )