CNX-NIFTY---A TECHNICAL OVERVIEW

OVERVIEW  ON THE CNX NIFTY  

Nifty is critically poised now and technically it is at make or break juncture at present. It is showing strength now and if it closes above 8505 and then above 8627 and sustain then it can regain its lost momentum. Going up it will find resistance at 8627 / 8850 / 8914 / 8996.60 & 9120 levels, similarly if it consistently starts trading below 8440 then it will be the first sign of weakness and going down it will have critical support at 8269 / 8150 and then at 7997 / 7961 / 7940/ 7841 / 7723 & 7540.10. Please note that if it falls and breaks 8150 mark and sustain below it then fall may accelerate sharply.

SUGGESTION:-  

1.     If one tries long call now then the stop loss would be below 8440 and above 8505 the stop loss would be below 8470.I would personally try long call only if it closes above 8505.

2.     Although there is no technical weakness here but since it is at make or break point, Short call can be tried below 8505 with a stop loss of above 8525 but avoid fresh short call above 8505 and above 8627 for sure or else try it below 8440 with a stop loss of 8485.I would prefer to try short call near 8505,if it remains below 8505 in the first 1,1/2 hour trade on 6-7-2015.

Please 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.

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.