A TECHNICAL VIEW ON CNX--NIFTY--28-7-2017

CNX-NIFTY

Open-10063.25—High-10114.85---Low—10005.50---Close—10020.55 on

27-7-2017

Major Support: -9970/9928.20/9015/9870/9838/9792.05/9778.85/9709.30.  

Major Resistance: -10043.60/10072/10131/10150/10162/10369.

Critical Point:-9870 & 9970.

For-28-7-17 the intra-day support and resistance levels are given here-under:-

Support: - 9970/9928.20/9870/9838/9792.05/9778.85.

Resistance: - 10043.60/10072/10114.85/10131.

It opened with an up gap at 10063.25 and made a high of 10114.85 and then went down in the late afternoon and filled the gap it created. It came pretty close to my last expected top out point of 10131(see my earlier post) then slipped down and closed near the low of the day at 10020.55. Today’s movement indicate that one should be alert here, because if it fails to cross the range of 10043.60---10131 and sustain above it in next 3-4 trading session then it can be assumed that the top may already be in place. It is therefore suggested to be extremely vigilant and cautious in long trade commitments henceforth.  

I still feel that it is difficult to cross 10131 level and sustain, so now the crucial benchmark range would be between 10043.60----10131. It is therefore suggested to avoid long call below 10043.60. Please note that, in case if it moves beyond this range and sustain, then the next tough range would be 10162—10210 and then 10370/10537/10552.

For-28.7.2017 In view of today’s movement long call can only be tried if it moves and sustain above 10043.60 with a stop loss of below 10000. Avoid buy on decline strategy for the day.Although there is no sign of trying short call in the market now  but in view of today's movement it could be worth trying short call if it stays below 10000  with a stop loss of above 10044 for a target of 9970/9960/9928.20/9915/9870.

Remark: - The trend is up. But in view of today’s movement long call can only be tried if it moves and sustain above 10043.60 for some time. Short call can also be attempted as suggested above.

 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.