Tuesday, 10 November 2015

CNX-NIFTY--A TECHNICAL VIEW--11-11-2015 (WISHING ALL THE READERS A VERY HAPPY DIWALI)

CNX-NIFTY

Closed at 7783.35 on 10-11-15.(Open-7877.60/High-7885.10/Low-7772.85)

Support:- 7723/7691.20/7678/7667/7539.50/7422.15/7295/7118.

Resistance:-7840/7930/7940/7960/7997/8055/8065/8088.60/8091.20/8116.10/8195.65/8269/8272.80/8282.70.

As expected it broke the level of 7795 today (see my post for 9-11-15) and technical parameters further indicates that it could test the bottom of 7539.50 it made on 8-9-2015 in coming days.  Please note that since it is falling for the last five days, therefore it could give a short pull back rally from here before further fall, if it moves above 7790 and sustain, so for those who want to take advantage of this expected up move may try long trade above 7790 with a stop loss of below 7759, but as you are already aware that pull back rallies are treacherous in nature can trap you, so be vigilant and cautious if you initiate long trade. Since it is in down trend and major technical indicators suggesting down move to continue, therefore it is advised to avoid fresh long call till it gives visible sign of bottom formation, instead short call can be tried on the rise at appropriate points but below 7930.65 with a stop loss of above 7970 or below 7771 with a stop loss of above 7810.Please avoid short call above 7771. Going down it will find support at 7723/7691/7667/7539.50/7422.15/7295 which may please be noted.

Remark:-The long term trend is down and the short term trend has also turned down and as the technical parameters indicating further fall ahead therefore long trade is completely ruled out for now. It would be better to try short trade as suggested above because looking at price behavior for last few days’ short trade seems safer option.  

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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