CNX--BANK NIFTY -A TECHNICAL VIEW FOR—14-6-2016

CNX--BANK NIFTY

Closed at 17593.95 on 13-6-2016(Open-17620.55/High-17666.55/Low-17527.55)

Support: 17502.45/17498.35/17246.55/17174.70/17067.45/17029.85/16962/16932.50/16922.05/16587.25/16431.65/16368/16282.75/16188/16186.25/16141.65/16099.65/16011/15762.20/15682.65/15522/15440.25/15005/14767/14761/14754/14445/13810.60/13407.25.

Resistance:17620.90/17671/17719/17828.60/17950/ 18029.05/18051.50/18250/18580.65/18662/19030.

As expected it broke its recent bottom of 17671 on the line chart thereby confirming that the on-going up move has exhausted and it will correct from here before making an up move again.  Going down it will find good support at 17498/17408/17350/17209/17067/17029/16962 and it may complete correction at any of these points possibly in the range of 17067--16962 if this up move has to continue, because sustained break below 17067 & 17029 and finally 16922 will give potential threat to the uptrend. Therefore on decline long call can be tried near 17067---16962 range or wherever it gives visible indication of correction completion but not below 16922 because sustained break below this mark may put an end to this uptrend.

Since it has broken its recent bottom on the line chart, therefore it is a sell on the rise market as of now till it moves and close above 17950 or start making higher bottom and top again on the line chart. It is therefore suggested to try short trade on the rise till it moves and close above 17950 or if it maintains below 17620 then sell trade can be tried for the entire remaining week .It is in corrective mode now for sure therefore it is suggested to avoid long call here.

TRADING OPTION FOR-14-6-2016

1. Can sell below 17620 or on the rise at proper points but not above 17950 with a stop 

loss of above 17980 for a target of 17570/17515/17408/17350/17209/17067/16962.

2. Long call can be attempted on decline but within the range of 17067--16962 with a strict stop loss of below 16920 or if it moves and sustain above 17950 with a stop loss of below 17820.

 Remark: - The trend is up but long call should only be attempted if it closes above 17950. Instead short trade should be tried  as suggested above as it looks safer option as of now. Please initiate your trade after watching the market for some time.  

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.