Nifty-Technical View--23-1-2015

NIFTY CLOSED AT 8761.40 ON 22-1-2015

SUPPORT: - 8680 / 8626.95 / 8535.35 / 8445.60 / 8380.55 / 8364.75 / 8326 / 8282.70 / 8272.80 / 8180 / 8160 / 8147.95 /

 RESISTANCE: - 8960 / 9039 / 9061 / 9704.

(Figures in bold are important)

Nifty opened with a small up gap at 8745.85 but filled the gap immediately and made a low of 8727 and thereafter made a new all time high of 8774.15 before closing the day at 8761.40. It is on an unabated rising spree therefore its vulnerability for correction is also very high at this point of time. So the long trade should be handled with extreme vigil and caution and positional trader should get alerted in existing long trade and avoid fresh long position below 8625 and exit long trade below 8600. Please note that since it on a vertical rise it may encounter profit booking anytime and it may go in for moderate correction if it breaks 8740(it changes every day) level and stays. So for the day trader it is suggested  that avoid fresh long call if it consistently starts trading below 8740(it changes every day) and the stop loss for long trade would be below 8720(it changes every day) for 23-1-2015. Technically it is looking good but in overall perspective , I would advice to book at least part profit on existing long trades here.

Going up it will face resistance at 8960 / 9039 & 9061 and moving down it will have support at 8625 / 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 at appropriate level and with proper stop losses. It is also suggested to book at least part profit on existing long trades.

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.