Bank Nifty - Bullish Reversal

Bank Nifty Aug Fut (CMP: 10023.85) -  The action formed a bullish engulfing candlestick pattern with decent volume which indicates bullish reversal. Technically, the index has tested falling channel line support level & bounced back with reversal candle which signifies pull back on the cards. Now Bank Nifty is heading towards 10500 – 10750 levels which is 38.2% - 50% retracement level of recent fall. If the resistance level of 11000 breaks, the index will rise towards 10300 – 10500  - 10750 levels. The RSI indicator shows multiple leg of positive divergence with its price, which is the sign of strength.