CNX-NIFTY- A TECHNICAL VIEW -15-2-2017

CNX-NIFTY

Open-8819.90—High-8820.45---Low—8772.50—Close—8792.30 on

13-2-2017

Support: -8754/8715/8672.70/8641/8598.45/8564/8555/8518/8506/8493.95/8476.70/8461.05/8460.30/8400/8373/ 8327/8293.80/8274.95/8223/8210.10/8185/8063.

Resistance: -8801.05/ 8826.90/8830/8844.80/8849.75/8874/8893.35/8913.45/8968.70/8996.60/9119.20.

The broad observation remains exactly the same (see my post of 13 & 14^th Feb-2017) with slight change in trading strategy.

It has been consistently trying to cross the first stiff resistance level of 8830 in last four days but failed, even if it cross this mark and move up it will face huge resistance at 8845—8850—8874—8894--8969---9030 therefore it does not seem easy to cross this terrain. Furthermore it is overbought and looks fatigued and certain technical indicators also pointing that a fall could be imminent. Therefore it is suggested to avoid long call till it moves and sustain above 8830 for some time. Although it is not the market for fearless short trade now but since it did not cross the critical resistance point of 8830 in last four days  a contrarian short call can be tried near but above 8826 with a stop loss of above 8850 for a target of 8801/8772/8754/8734/8715. It could be a risky trade mind you.     

Remark: - The overall technical setup is till good but it looks fatigued and technical indicator also indicates that it could correct from here  therefore long call seems risky, so avoid it today. Instead short  call can be tried as suggested above but with extreme caution.

 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.

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit  trade.