Nifty-Technical View--21-1-2015

NIFTY CLOSED AT 8695.60 ON 20-1-2015

SUPPORT: - 8626.95 / 8535.35 / 8445.60 / 8380.55 / 8364.75 / 8326 / 8282.70 / 8272.80 / 8180 / 8160 / 8147.95 .

 RESISTANCE: - 8681 / 9039 / 9061 / 9704.

(Figures in bold are important)

Nifty opened with a minor up gap at 8575.10 and made a low of 8574.40 and thereafter it steadily moved up and made a new all time high of 8707.90 before closing the day at 8695.60 way above its previous high. It had a robust up move today and it is exhibiting tremendous strength and indicate that the up move may continue therefore buy on dips strategy should still be adopted but with caution because it may encounter profit booking in the range of 8700—8775(valid for 21-1-2015) and it may correct from here, so the long trade should be handled carefully and cautiously and the stop loss for long trade would be below 8600.

Going up it will face resistance at 9039 & 9061 and moving down it will have support at 8600 / 8535 / 8445.60 & 8380.55. 

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 still intact. I would suggest to adopt buy on dip strategy with caution and proper stop losses.

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.