Banknifty View for 9.02.2011

In our View the banknifty possibly open in gap up and sustain above 10,440 level may lead it to a 10580/620 levels.If open or go's down by chance below 10343 it attracts more selling pressure and the bulls will have no hope there on!!! it may slide down to 9970 level.So trade with proper SL.The Nifty today some how retained above 5340 level..down to it a minor/major correction may occur.This is what we wrote in our yesterday post about today market pre-view.The banknifty done exactly the same as it opened in gap up about 50 points from its yesterdays closing 10375 to 10425 level.The day high was 10430 and low was 10127.It was not having strength to cross 10440 level as we mentioned.

Today we made a good gain in banknifty...when we sold in 267 level we were sure of 100 points free fall and gave a buy at 10166 after selling and many conservative traders, we made to cover when we saw 50 points gain and few of our old clients were waiting for the target and covered in 166 and made about 220+ points profit in intraday.We infact sold near the days high around 415 and also covered near days low...we made many swing trades.We also covered our Positional banknifty shots partially to near the days low 10130-40 level.

Now the yesterday view is still remain the same.the banknifty showing much weakness in the last fewdays...as the components of banknifty out of 12 banks the 10 banks were weakening day after day.Today the SBI&PNP was showing green at last the PNP gave it up after retaining its status quo for a long while...May be some huge basket selling happend in this counter.Considering this weakness the Nifty may slide down further as it broken down the major supports 5340 today and made a low of 50303..But the last traded price was 5394 seems it is again having little hope to claim up!!!.Let us not remain long in this state at the same time not advising fresh shot at this low level.Watch out carefully This weak may witness a twist in our market.The Banknifty now has strong support at 10110/9970 level.