Thursday, 7 July 2016

CNX--BANK NIFTY-A TECHNICAL VIEW FOR—8-7-2016

CNX--BANK NIFTY

Closed at 18084.90 on 7-7-2016(Open-18036.30/High-18146.55/Low-17997.10)

Support:18074.95/18051.50/18029.05/ 17943.50/17907.50/17670/17636/ 17527/17518/17425/17350/17174.70/17067.45/17029.85/16962/16932.50/16922.05/16587.25/16431.65/16368/16282.75/16188/16186.25/16141.65/16099.65/16011/15762.20/15682.65/15522/15440.25/15005/14767/14761/14754/14445/13810.60/13407.25.

Resistance: 18146.55/18227/18312/18580.65/18750/19111.

Although it closed with a gain and above its critical point of 18045 today, but the fear of down correction is not yet over because it has not yet crossed the recent top of 18097.65 on the line chart and made double top on the bar chart today at 18146.55. Furthermore it has to be seen whether it will sustain above its critical point of 18045 or not. Therefore to confirm that the down correction may be over it has to sustain above 18045, close above 18097.65 and reasonably move above 18146.55 in next 3-4 days time else the down correction may deepen. Therefore it would be safe to try long trade only if it closes above 18097.65 at least, so avoid long trade on 8-7-2016.However aggressive trader can try long call if it moves and sustain above 18147 intraday. Please note that it is not giving any signal for attempting short trade now but in view of the above observation short call can be tried if it fails to cross 18146.55 level for reasonable time or try sell trade below 17985 for sure.      

TRADING OPTION FOR-8-7-2016

1. It would be safe to try long call if it closes above 18097.65.

2. Aggressive trader can try long call above 18147 with a stop loss of below 17985 for a target of 18147/18188/18227/18313.

3. Short call can be tried if it fails to cross 18146.55 for some time with a stop loss of above 18170. It could be a risky trade but worth trying.
  
4. Short call can surely be tried if it moves and sustain below 17985 with    a stop loss of above 18100 for a target of 17863/17740/17687/17546/17527. It could be a risky trade but worth trying.

Remark: - The trend is up. It closed on the positive note but it is not sure whether correction is over or not, therefore long call could be a risky proposition. Take your trading call as suggested above but cautiously. 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.



1 comment:

  1. This post contributes in serving really useful information.The Nifty opened flat and ended the trading session almost unchanged. After a sharp upmove last week, the Index is possibly consolidating now. However, the Nifty has closed around the support zone. For live updates follow epic research on twitter.

    ReplyDelete

Thank you for sharing your views.