The Nifty Bank has shown signs of weakness after a short-term recovery. The index recently broke a rising support trendline and is now hovering around a crucial demand zone marked in green. The failure to sustain above ₹57,000 has increased the probability of a downside move toward the next support area.
📉 Breakdown of Key Technical Elements:
🔴 Resistance Zones:
₹57,300 – ₹57,400 Zone:
The price was repeatedly rejected from this level over the last few sessions.
Strong selling pressure has emerged here, making it a critical supply area.
₹57,600 – ₹57,700 Zone:
Historical highs in this range.
Double top formation can be noticed here, further confirming selling interest.
Nifty Bank
🟢 Support Zones:
₹56,850 – ₹56,900 Zone:
The current price is hovering right above this demand area.
Price has taken multiple supports in this region historically.
₹56,650 – ₹56,700 Zone:
Next strong support if ₹56,850 is breached.
Buyers may try to defend this level to maintain short-term bullishness.
₹56,450 – ₹56,550 Zone:
Previous swing low.
Any fall below this will confirm a full short-term trend reversal.
📉 Trendline Breakdown Alert
A significant rising blue trendline was supporting the index for the last few trading sessions.
The breakdown below this trendline on 10th July suggests weakening momentum.
Traders may interpret this as a potential bearish signal in the short term.
🔄 Volume & Price Structure
Although volume data isn’t provided on the chart, the price action itself reveals that:
A lower high – lower low structure is emerging.
After the sharp rally on 26–27 June, Nifty Bank has been struggling to cross its resistance and shows signs of exhaustion.
Price tested the ₹57,300 resistance thrice but failed to close above it.
🧮 Candle Pattern Analysis
Multiple small-bodied candles with long wicks near the resistance zone imply indecision and seller dominance.
Recent bearish candles post-trendline breakdown validate the short-term weakness.
🔎 Scenario-Based Strategy for Traders
✅ Bullish Scenario (Recovery)
If the index takes support at ₹56,850–56,900 zone and reclaims ₹57,100:
Possible targets: ₹57,300 / ₹57,400
Sustained breakout above ₹57,400 will trigger a rally towards ₹57,700.
❌ Bearish Scenario (Breakdown)
If ₹56,850 is broken decisively:
Immediate downside target: ₹56,675
Further breakdown may push the index toward ₹56,500 – ₹56,450 levels.
RSI (Relative Strength Index): Likely near the neutral 50 level, but sloping downwards indicating weakening strength.
MACD: Possibly showing bearish crossover given the downward momentum post-trendline break.
💡 Trading Psychology Insight
Nifty Bank traders are likely experiencing a conflicted sentiment:
On one side, hopes of bounce from strong support.
On the other, fear due to multiple failed breakouts and trendline breakdown.
This calls for cautious positioning. Avoid aggressive longs unless price gives confirmation through candle formations and volume.
📅 Outlook for 11 July 2025
Considering the current price action:
Bias: Moderately Bearish
Crucial Levels to Watch:
Resistance: ₹57,100 / ₹57,300 / ₹57,600
Support: ₹56,850 / ₹56,675 / ₹56,500
Volatility is expected to rise near the support zones.
🧠 Trader’s Insight Quote of the Day
“Support and resistance are not just lines—they are zones of war between bulls and bears. Watch how the battle unfolds.”
Note: This is the Testing Real data may be differ for above
Stock Market Disclaimer
Disclaimer: This post is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy/sell any stock or share. Investing in the stock market involves risk. Past performance is not indicative of future results. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
