CNX-NIFTY-A TECHNICAL VIEW FOR—22-6-2016

CNX-NIFTY

Closed at 8219.90 on 21-6-2016 (Open-8255.40/High-8257.25/Low-8202.15)

Support: -8213.60/8180/8160/8063.90/8055/7992/ 7972/7946.35/7938.45/7890/7849.80/7822.70/7777.60/7735.75/7723.85/7714.15/7691.20/7678.35/7667.25/7582.25/7551/7539.50/7516.85/7422/7405/7350.30/7295/7252.

Resistance: -8245/8295/8336/8375/8489.55/8530/8550-8600/ 8621.

                      

After giving robust up move yesterday, it moved in a short range toady which was not expected and finally closed with a meager loss of 18.59 points, which is slightly disturbing. However the higher top and bottom on the line chart is still intact, therefore long trade can be attempted on decline but avoid fresh long trade below 8206 because break below this level may drag it down to 8140 level, if it does then try long call near 8140 with an exit point below 8100 or if it moves above 8213.60 again and sustain. But at this point of time it is suggested and would be better and safe to try long call if it moves and maintain above 8245 because if it does not cross this mark in next 3-4 days time then it may go in for down correction again. Therefore long call should be handled with due caution.   

It is important to mention here that in case if it goes into down correction again then long call should be attempted around or within the range of 8010—7946  because it is very strong support area but not below 7930 because sustained break below 7930 may put a break on the uptrend. (see my earlier post)

TRADING OPTION FOR-22-6-2016

1. Long call can be tried on dip but avoid below 8206 and then try near 8140 with a stop loss of below 8100.It could be a risky trade.

2. It would be safe to try long call if it maintains above 8245 with a stop loss of below 8200 for a target of 8258/ 8295/8317/8336.

Remark: - The trend is up now. The higher top and bottom on the line chart is intact but today’s move was slightly disturbing, therefore it would be safe to try long call if it moves and sustain above 8245. 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.