📊 Current Market Status:
Bank Nifty closed at 51,180.70, showing a slight decline after testing resistance zones. The index is currently in a critical decision zone, where price action at key levels will determine the next directional move.
Let’s analyze the trading plan for different opening scenarios and set up a structured approach to trade safely.
🔼 Scenario 1: Gap-Up Opening (200+ points above 51,400)
If Bank Nifty opens above 51,400, it will directly test the Opening Resistance (51,424 – 51,564). This zone has previously acted as a supply area, so we need to see if bulls can sustain above it.
✅ Plan of Action:
- [] If price sustains above 51,564, it can trigger further upside momentum towards 51,851 (Last Intraday Resistance). A breakout above 51,851 may lead to a sharp rally towards 52,100+ levels.
[] If price gets rejected at 51,564 and starts reversing, look for shorting opportunities, targeting 51,424 → 51,271 → 51,180. - Avoid aggressive long trades if price fluctuates within 51,424 – 51,564 (sideways resistance), as this could indicate a choppy range.
🎯 Pro Tip: If the gap-up is weak and starts filling within 15 minutes, expect a retracement towards the Opening Support (51,218 – 51,271) before making a trading decision.
⚖ Scenario 2: Flat Opening (Within ±200 points, around 51,180)
A flat opening suggests a balanced market, and Bank Nifty will need confirmation before picking a clear direction.
✅ Plan of Action:
- [] Upside case: If Bank Nifty breaks above 51,424, we could see a move towards 51,564, where price action must be observed for further bullish strength.
[] Downside case: If price breaks below 51,218, expect a retest of the Opening Support Zone (50,904 – 51,218). A breakdown below this zone can trigger selling towards 50,522. - Neutral/Wait & Watch: If the index trades inside the No Trade Zone (50,904 – 51,218), avoid unnecessary trades.
🎯 Pro Tip: A flat opening often leads to fake breakouts in the first 15 minutes. Wait for a confirmed breakout with volume before entering.
🔽 Scenario 3: Gap-Down Opening (200+ points below 50,900)
If Bank Nifty opens below 50,900, it will enter a high-risk zone, with major support at 50,522 (Wave 4 Upper Band).
✅ Plan of Action:
- [] If price sustains below 50,904, expect a test of 50,522. A further breakdown could lead to heavy selling towards 50,300 – 50,100 levels.
[] If price takes support at 50,522 and rebounds, look for a possible pullback trade, targeting 50,904 → 51,180. - Be cautious of bear traps—if price quickly reverses after a sharp gap-down, it might indicate a short-covering rally.
🎯 Pro Tip: In a gap-down scenario, avoid panic selling. Watch for reversals from key support levels before shorting further.
⚠️ Risk Management Tips for Options Traders
🔹 Avoid over-leveraging – Keep your position sizing in check to prevent excessive losses.
🔹 Theta Decay Awareness – If the market is consolidating, option premiums will decay rapidly.
🔹 Hedge Your Trades – Instead of naked options, use spreads to reduce risk.
🔹 Wait for Confirmation – Don't enter trades impulsively; wait for a breakout or breakdown retest.
📌 Summary & Conclusion
📍 Key Levels to Watch:
🟥 Resistance: 51,424 → 51,564 → 51,851 → 52,100
🟧 No Trade Zone: 50,904 – 51,218
🟦 Support: 50,904 → 50,522 → 50,300
🔸 Bullish Bias: Above 51,564 for targets of 51,851 – 52,100
🔸 Bearish Bias: Below 50,904 for a move towards 50,522 – 50,300
🔸 Neutral/Sideways: If price stays between 50,904 – 51,218, expect range-bound action.
🎯 Final Advice:
Stick to the plan, follow key levels, and don't chase trades.
Avoid trading inside No Trade Zones.
Let the market settle for 15-30 minutes before making aggressive moves.
📢 Disclaimer
I am not a SEBI-registered analyst. This trading plan is for educational purposes only. Please do your research or consult a financial advisor before making trading decisions.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.