Monday, 26 October 2015

CNX--BANK NIFTY-A TECHNICAL VIEW--27-10-2015

CNX--BANK NIFTY

Closed at 17815.05 on 26-10-15.

Support:-17738/17719/17652.35/17565/17502.45/17434.05/17401.20.17246/17174/16670.

Resistance:-17821/18035/18174.20/18411/18586/18728.20/18836.65/18832/18896.45/18922.60/18980.65/19100.55/19229.05.

It gave upside breakout from the neckline again on 23-10-2015 but hovered around it the next day and in fact had a down day whereas the breakout generally is followed by few up days, anyway it is still holding the neckline and the short term rising trend line which would be at 17750(it changes) for 27-10-2015 but it’s price movement exhibited some weakness today, after hitting a high of 18029.05 for the day it closed at 17815.05 near the low of 17798.65 for the day which is a bad sign, therefore it is suggested to avoid long call below 17798 and below 17750 &17700 for sure on 27-10-2015. However the short range for the Bank Nifty for the on-going week is between 18035—17700 and the broad range is between 18035—17540 so based on these range aggressive trader can take both side trading calls, but seeing today’s movement it would be safe to try long call above 18035 with a stop loss of below 17930. It is worth trying short call if it consistently trades below 17750 with a stop loss of above 17825.

Please note that moving down it will have critical support point at 17548(it changes every day) and at 17401 and break and close below these levels will mark the end of this  move and indicative of a possible start of a new down move.

Remark:-The short and intermediate trend is looking up. It is suggested to avoid long call below 17798 and below 17750& 17700 for sure on 27-10-2015.


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 pointsDO 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.


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Thank you for sharing your views.