Nifty Bank index opened today’s session with a gap-up at 55,941 compared to last week’s close of 55,342. It moved up after opening and is currently hovering around 56,030, up 1.25 per cent.
All 12 stocks in the index are in the green, led by IndusInd Bank (up 2.9 per cent). This is followed by AU Small Finance Bank (up 2 per cent).
Nifty Private Bank has gained 1.6 per cent whereas Nifty PSU Bank is up 0.8 per cent. So, broadly, the private banks are outperforming their public sector peers.
The August Nifty Bank futures began today’s trade higher at 56,000 versus last week’s close of 55,504. It is now trading at 56,115, up 1.1 per cent.
After marking an intraday high of 56,245, the contract has scaled back below the 21-day moving average, which is currently at 56,200. So, the bulls are facing a challenge right now.
In case Nifty Bank futures surpasses 56,250, it can extend the rally to 56,500. On the other hand, if there is a decline, the contract can find support at 55,950. A breach of this can drag it to 55,700 and 55,500.
Overall, the next swing in price depends on whether Nifty Bank futures breaks out of 56,250 or slip below the support at 55,950. There is also a chance for it to consolidate between 55,950 and 56,250 for the rest of the day.
Trade strategy
Stay out for now. Go long on Nifty Bank futures (Aug) with a stop-loss at 56,100 if it breaks out of 56,250. Book profits at 56,500.
But instead, if the contract declines below the intraday support at 55,950, go short with a stop-loss at 56,100. Exit at 55,700.
Supports: 55,950 and 55,700
Resistances: 56,250 and 56,500
Published on August 18, 2025
