CNX-NIFTY—UPDATE FOR—15-12-15

CNX-NIFTY

Closed at 7650.05 on 14-12-15.(Open-7558.20/High-7663.95/Low-7551.05)

Support:-7610.45/7775.30/7539.50/7422.15/7295/7118/6869.

Resistance:-7667/7678/7691.20/7714.15/7723.85/7840/

/7940/7960/7997/8055/8065.

It opened with down gap today but did not breach the important support range of 7539.50—7520(see my post for 14-12-15) and bounced back sharply to close near the high of the day. Since it has respected the most critical support range for the 2^nd time in last 16 months therefore it is suggested that it would be safe to try aggressive  short call after this range is taken out. Today’s move was a bounce back from its critical support range and can be termed as a pull- back move as of now, therefore it has to be seen how it culminates in coming days.

Please note that if it moves above 7653 and sustain then it could move further to 7715/7766 & 7816 levels before it could possibly weakens, if it moves above 7766 and then 7816 and sustain then the up move could extend further. It seems that tomorrow could be an up day if it sustains above 7653. So long call can be tried on the dip with a stop loss of below 7575 or above 7653 with a stop loss of below 7610.Short call should only be attempted below 7575 with a stop loss of above 7612.

 Remark:-The long term trend is down. The 7539.50—7520 range is a very strong support so till it is taken out fearless short trade should be avoided instead long call can be tried as suggested above.

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.