NIFTY----A TECHNICAL VIEW FOR---22-4-2015

CNX NIFTY

CLOSED AT 8377.75 ON 21-4-2015.

SUPPORT: - 8364 / 8282.70 / 8272.80 / 8269.15 / 8180 / 8160 / 8147.95 / 8065.45/7961.15.

RESISTANCE: -8445 / 8470 / 8612 / 8626.95 / 8669 / 8788.70 / 8794.48 / 8844.80 / 8849.75 / 8913.45 / 8996.60 / 9119.20.

Nifty opened on a negative note at 8416.10 and made a high of 8469.35 for the day and a low of 8352.70 before closing the day at 8377.75, it exhibited huge volatility and gross weakness today. Please note that It is well below its short and medium term moving averages and also below the upper range of the long term moving average which is placed at 8505 for 22-4-2015, furthermore it has also broken the Fibonacci Retracements range of 8405—8384 and closed below it too which indicate that it is heading to break the recent bottom of 8269.15 it made on 27-3-2015 possibly in a day or two. Therefore long call should be avoided till the on-going fall gives any sign of completion.

Kindly note that it will find good support in the range of 8130---8050 so the long call can be tried here for a pull back rally if it holds this range with a stop loss of below 8000 because if it does not hold this range then the next potential support for it exist in the range of 7960---7723. Please note that the trading range for nifty for 22-4-2015 is between 8350---8410---8455—8505. Therefore structure your trade keeping this trading range in mind. I would still suggest to try sell call below 8370 with a stop loss of above 8460 for a target of 8260.

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 still intact but threatened and it will be in real danger if it breaks 8130 mark and consistently starts trading below this mark, therefore it is suggested to avoid long call now.

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.