CNX-Bank Index-Technical View For-13-1-2015

CNX-Bank Index closed at 18795.85 on 12-1-2015

SUPPORT: - 18736.65 / 18728.20 / 18630 / 18428 / 18211.50 / 18183 / 17968 / 17890 / 17546 / 17502

RESISTANCE: - 18875.45 / 18941 / 19166 / 19385.

(Figures in bold are important)

Index opened on a positive note at 18632 and made a high of 18822.05 and made a low of 18530.10 before closing the day at 18795.85. It was a day of wild swings but at the end of the day Index closed above its critical level of 18740, now it has to be seen whether it will sustain this level or not, however since it has closed above 18740 therefore existing long call can be held on to and fresh long call can also be added above 18740 but get alerted and avoid adding fresh long position if it consistently starts trading below 18720 and exit long trade if it closes below 18500. Please note that fresh long call one would take on 13-1-15 should be exited if it gives sign of closing below 18620.

Going up it will resistance at 18876 / 18941 / & 19166 and moving down it will have support at 18728 / 18428 & 18211.50.

Kindly note that profit should also be booked in trade from time to time at the appropriate points so that you can take advantage of the market swings.

REMARK:-  :- Long term up trend is intact. Since it has closed above the critical point of 18740 therefore existing long trade can be carried on and fresh long position can also be added with proper alert and stop losses as mentioned above.

Kindly note that make your cost your stop loss in favorable trade and then trail it as the price move up/down to gain maximum profit and avoid losses. Use support and resistance levels as entry, exit, target and trailing stop loss points. DO NOT TRADE WITHOUT STOP LOSS.

Disclaimer:-The view expressed here are solely of the author and he is not at all responsible in any way for the outcome of the trade you enter based on the above view.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.