Nifty has broken out from the last five-day price consolidation which was held between 15,000 and 15,250.

On February 15, Nifty Bank and Nifty Financial Services jumped up to 3 percent and outperformed Nifty by a huge margin.

Bank Nifty has confirmed the bullish flag pattern on the daily chart. The upside target for the pattern comes in at 42,000 odd levels.

The immediate target for Bank Nifty is seen at 38,900 which happens to be 138.2 percent Fibonacci retracement of the entire fall seen from 32,613 (December 2019 top) to 16,616 (March 2020 bottom).

Nifty has been respecting the five-day EMA as a support for the last four trading sessions.

At present, the five-day EMA is placed at 15,170 which can be placed as a stop loss in trading long positions.

The previous top of 14,753 registered on January 21, 2021, is expected to act as positional support for Nifty.