Thursday, 17 December 2015

CNX-BANK NIFTY--A TECHNICAL UPDATE--18-12-2015

CNX--BANK NIFTY

Closed at 16741.50 on 17-12-15.(Open-16704.05/High-16771.80/Low-16544.65)

Support:-16670.55/16648.30/16587.25/ 16497/16260/16192.25/15762.20

Resistance:- 17174.70/17246.55/17302.55/17499/17502.45/17565/17652.35/17719/17738/17821/18035/18174.20.

It gave more than 160 points rise today but comparatively not showing the strength which Nifty is showing but it seems that it may catch up with it in coming days because certain technical parameter indicates that it may go beyond 16950 mark in coming days, so this up move is expected to continue for few more days with an in between down day also. Moving up it will face resistance from its Fibonacci retracement point of 16844/16998/17189 and from its short term moving average range which is between 16576—16777--16909(it changes every day). Going down it will find support at 16688/16670/16648/16587&16497. For now it is looking ok therefore buy now or on dip strategy is suggested but not below 16550 with a stop loss of below 16480. Since short term trend is looking up now therefore, it is advised to avoid short call for now.  

Remark:-The long term trend is down.  Since the pull back rally is gaining momentum therefore it is suggested to try long trade till it holds 16550.

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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