CNX--BANK NIFTY- A TECHNICAL VIEW - 9-3-2016

CNX--BANK NIFTY

Closed at 15146.50 on 8-3-2016(Open-15323.45/High-15326.65/Low-15066.50)

Support:-15130.35/14858.50/14754.65/14709.10/14602.25/14467.15/14338.65/13892.10/13810.60/13519.90/ 13407.25/13414.30/13303.60/13150/12738.60/12514.75/12430.85.

Resistance:- 15367.90/15565.50/15682.65/15762.20/16188.05/16192/16309.70/16587.25/16648.30/16670.55/16741/16824.05/16922.05/16932.50/17067.45.

It opened on a flat to negative note and thereafter steadily went down and closed the day with a loss of 192.20 points .So finally correction sets in after six days of straight rise. This down move may last few days but since its short term technical setup looks good it may stage an early recovery also. Please note that if it moves below 14969 and sustain then it could correct more sharply. Moving down it will find good support at 15000/14969/14761/14754/ 14602.25/14445/14180/13892/13810. In view of today’s down move it is suggested to avoid long call now and try only if it moves and sustain above 15340 or on dip at proper points but not below 14754.     

For 9-3-2016 it would be safe to try long call if it moves and sustain above 15340 with a stop loss of below 15260 for a target of 15367.90/15451.75/15577/15682.65/15762.20 or else near 14754 but not below this mark. Although it has not given any potential indication to try short call now but In view of down move today day trader can try short call also if it moves and sustain below 15060 with a stop loss of above 15160 for a target of 15000/14969/14858.

Remark:-It is in long term bear trend since 4-1-2016. It gave down move today, so possibly down correction has set in, therefore long call should be avoided now and can only be tried if it moves and sustain above 15340.

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.