Bank Nifty weekend update

• Bank nifty's week chart remains in a strong up trend as long as it remains in the channel. Channel break may give an early warning.
• But if the recent high 11126 it will be a continuation breakout and the index will continue the up tend staying inside the channel.
• But the daily chart if it does not make it to the recent high of 11126 and breaks 10645 will make a lower high which may make the bulls worried.
• I have also shown the use of indicators in the first chart. Even the most reliable indicators will be tested when the instrument you are dealing with remains in a strong trend. The indicators work well in a sideways market. In this case the stochastic remains in overbought condition for more than a month. But the indicator remaining in overbought condition also shows the strength of the trend. In this case simple trend lines and channels or the trend following methods will be more effective and can give great profits.
• For next week one can watch the range of 10645 - 11126 if it gets violated take a trade by keeping a small stop loss. 
• Remember Bank nifty is a volatile instrument if you are in the wrong direction losses can be large as well so please be careful.