Bank Nifty seems to be forming a pattern which is between two trend lines indicated above. As per this the target for this fall is around 7000 levels which is nearly 30% fall from the current price. So we are in for a big fall if the pattern is correct. But in the mean time there is a trend line (red) which is there which can offer support, the trend line drawn joining the lows of all the bottoms from year 2002 onwards nearly from 2001 onwards, 13 year trend line. Note that 13 is a Fibonacci so we have chances  of this breaking this time. So in short term the support appears to be at 9600 levels and if its taken out all the hell would break loose atleast in bank nifty and which can have ripple effect on other indices especially nifty.

 

M.Sri Mahidar

Trend is Friend.