A TECHNICAL VIEW ON CNX--NIFTY--25-7-2017

CNX-NIFTY

Open-9936.80—High-9982.05---Low—9919.60---Close—9966.40 on

24-7-2017

Major Support: - 9928.20/9015/9870/9838/9792.05/9778.85/9709.30.  

Major Resistance: -9970/10013/10043/10131/10150/10369.

Critical Point:-9870 & 9970.

For-25-7-17 the support and resistance levels are given here-under:-

Support:-9928.20/9908/9870/9838/9792.05/9778.85.

Resistance:-9970/10017—43/10103.

I envisaged that it may top out after a reasonable rise during the last week ended on 21.7.17 around the mentioned levels (see my post of 17.7.17) but it did not happen. However looking at today’s move it seems that it may happen in coming days/ weeks. 

Today it decisively crossed its last week’s high and all time high of 9928.20 after moving around it for last few days and made new high of 9982.05 which indicates strength. It has already hit the first expected top out point of 9970 today, therefore now it seems that it may possibly also move near or hit the other expected top out target points of 10043/10131 in coming days provided it holds above 9970. I still expect it to top out around the aforesaid levels but in case if it moves beyond 10131 then 10150/ 10369 could be the critical points. It is important to mention here that, although technically it is on a sound footing as of now but with every rise the vulnerability for correction is also increasing, therefore it is advised to be highly cautious in your long trade commitment. Long trade can be tried till it maintains above 9928.20.

For-25.7.2017 long call can be tried if it moves and sustain above 9970 or on decline near but not below 9928.20 with a stop loss of below 9900.  Please note that if you feel that it can close below 9915 then it is suggested to buy 9900 put option of July series with a stop loss of above 9930.    

Remark: - The trend is up. It gave a robust upside breakout, therefore long call can be tried as long as it sustains above 9928.20.

 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.