CNX-NIFTY
Open-9814.30—High-9854---Low—9775.35---Close—9788.60
on
29-9-2017
Major Support: 9740/9709.30/9700/9688/9687.55/9685.55/9560.80/9448.75.
Major
Resistance: -9792/9850/9870/9925.75/9928.20/9947.80/9970/9988.40/10031/10048/10088.10/10114.85/10131.95/10137.85/10178.95.
Critical Point:-9870
& 9970.
For-3-10-17 the intra-day short support
and resistance levels are given here-under:-
Support: -9786/9736/9709/9700/9688/9685.55/9634/9560.80.
Resistance: 9792/9803.52/9821/9878/.
It tested its major bottom of 9685.55 on
28.9.2017 and made a slight higher bottom at 9687.55 and reasonably bounced
back from there, so it has made double bottom in the range of 9687—9685 which
is a good sign. On 29-9-17 it opened with an up gap and further went up but
late in the afternoon it wiped out all the major gain and closed with a moderate
gain of 19.64 points. The movement for day indicated weakness. Furthermore it
is also below its short and medium term moving averages and other technical indicator such as RSI and
MACD are also badly poised therefore the overall technical setup is weak as of
now and indicate that further fall may be ahead in coming days/weeks. But since
it has made double bottom at 9687—9685 it may move sideways or up from here for
a while before it witness further fall. Moving up it will face resistance at
9803.52/9821/9870--9878/9934/9970—92.
The
key points are 9803.52(fix point)/9821 &9878(it changes every day)
so if it maintains and close above 9803.52 then it can be assumed that the pullback
move may continue for a while, move and close above 9821 &9878(it changes
every day) will indicate that the up move may strengthen but it will regain the
strong up momentum only above 9970—92 which may be please be noted. The last
two days positive close was a pullback move and may continue for some time if
it behaves in the aforesaid manner else it may end anytime soon.
In view of the above observation long
trade for taking advantage of the pullback move should only be attempted if it
moves and sustain above 9803.52 with a stop loss of below 9735 for a target of 9821/9850—78/9920.
Similarly short trade can also be attempted below 9735 with a stop loss of
above 9790 for a target of 9685/9640 or sell if it fails to cross 9878 then
near it but not above it with a stop loss of above 9930. Please
watch the market for sometime before initiating the trade.
It is important to mention here that the
ongoing up move after the impulse down move of 8 days seems to be a pullback
move and may end anytime until and unless it crosses 9970--92 level and sustain
above it; therefore long trade should be handled with extreme caution and care
at this point of time.
Remark:
- Since it has made double bottom in the range of
9687—9685, therefore it may stage a pullback rally from here before it resumes the down
move again, so those who wish to take advantage of this rally may try long call
as suggested above. But broadly it still seems a sell on the rise market as of now,
so be alert and cautious in long trade.
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.
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