Thursday, 29 December 2016

CNX--BANK NIFTY-A TECHNICAL VIEW 30-12-2016

CNX--BANK NIFTY

Closed at 18033.15 on 29-12-2016(Open-17861.45/High-18053.30/Low-17829.40)

Support:-17952.60/ 17884/17825.50/17819.75/17672/17606.90/17425.25/17350.45/16946.35/16932.50/1692/16431.65/16368/16186/15762.

Resistance:- 18051.50/18143.70/18316.80/18443.65/18532/18713/18740 .

It opened on a flat to negative note but recovered quickly and then traded in a very short range throughout the day but picked up speed in last 30 minutes of trade and closed with a gain of 156.45 points and near the high of the day.  Please note that with today’s close it has made higher bottom of 17876.70 and crossed the recent top also, so it is in the process of making higher top too on the line chart, furthermore it has also moved above its first long term moving average which is placed at 17998(it changes every day) for 30-12-16 and if it sustain above this it may gain good strength. But today’s close indicate that it has turned into buy on dip market for now till it holds 17876.70 on the closing basis. Therefore long call can be tried either above 18060 or on decline but not below 17876 with a stop loss of below 17810. The upside target could be 18173/18307/18472/18513.  It is suggested to avoid short call for now and it can only be tried if it closes below 17876.70. 

It is important to mention here that tomorrow will the first day of the January-2017 series, therefore market may open with an upside gap, so do not hurry to initiate long position if it opens with a upside gap then wait for the market to settle down before initiating long position. 
  
Remark: - It is in downtrend. But with today’s close it is suggested to adopt buy on dip strategy till closes below 17876.70.The overall trend is bearish as of now.  

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.

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 pointsDO NOT TRADE WITHOUT STOP LOSS.
                                                                                     
Contact me for strategic guidance to enter and exit the trade.





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Thank you for sharing your views.