Nifty Bank index opened today’s session lower at 55,459 versus yesterday’s close of 55,572. It slipped further after opening and is currently hovering around 55,075, down 0.9 per cent.
The advance/decline ratio stands at 3/9, showing a bearish bias. IndusInd Bank (up 0.3 per cent) is the top gainer, whereas ICICI Bank (down 1.3 per cent) is the top loser at the end of the first hour of today’s trade.
Nifty Private Bank has lost about 0.9 per cent so far today, whereas Nifty PSU Bank is down 0.6 per cent. Therefore, broadly, the private banks are facing relatively higher selling pressure compared to their public sector peers.
Nifty Bank futures
Nifty Bank futures (May) opened today’s session lower at 55,591 versus Monday’s close of 55,687. It fell after opening and is now trading at 55,100, down 0.9 per cent.
The chart shows that the contract has been oscillating between 54,600 and 55,800 over the past two weeks. Within this range, Nifty Bank futures is now trading near a support at 55,000, where the 21-day moving average coincides.
Ideally, the direction of the next leg of trend can be confirmed only if Nifty Bank futures breaches either 54,600 or 55,800. But it is less likely to happen before the expiry of May contracts.
For intraday, there is a chance for the contract to rebound on the back of the support at 55,000. Such a recovery can lift Nifty Bank futures to 55,800 and 56,000. But if the contract breaks below the support at 55,000, it can extend the decline to 54,600.
As it stands, the risk is higher for intraday positions at the current juncture.
Trading strategy
Traders with higher risk appetite can buy Nifty Bank futures (May) at 55,080. Target and stop-loss can be 55,800 and 54,880 respectively.
Supports: 55,000 and 54,600
Resistances: 55,800 and 56,000
Published on May 27, 2025