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BankNifty Update for Jul-06, 2020

In the update for Jul-02 post, I mentioned "The hourly chart gave a bullish MA crossover. Bullish crossover after bearish crossover suggests the rangebound possibility. The range maybe 21300-22300."
In the update for Jul-03 post"The hourly chart shows the possibility of Banknifty coming towards moving averages (21750-21600) before it starts moving up."

Banknifty exactly moved in a range for the last 2 days and came back to 30-EMA. 

The daily chart shows Banknifty taking support near the lower line of the wedge. As long as this support is respected we can expect upside move towards 22500/22700/22900.
The hourly chart shows Banknifty taking support @ 30-EMA and Gann Number of 21800. The hourly chart shows a wedge formation. Break of this wedge may give some good sharp moves on either side.

VIX:

The daily Gann Box shows we are near the time factor. We may see a trend change in VIX in the next few days.
The hourly chart of VIX clearly shows the possibility of a spike in VIX as it is at channel support and RSI also at support.

FNO Data:

The change in future OI is not significant (increased by 1.5%). The spot to future is @ discount of 8.5, changed from the premium of 24. Nothing much to conclude from this data.

Trade Plan:

Above 21950 targets are 22050/21120/22300/22450
Below 21650 targets are 21550/21400/21250/21100

I have a bullish bias. 

We may see some move tomorrow as we have Lunar eclipse on Jul-05. The effect may be seen on Jul-06. Jul-07 is a minor Gann date. So we may see some sharp moves in the coming days or maybe short term top on Jul-07.





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