A TCHNICAL VIEW ON CNX--NIFTY---16-11-2017

 CNX-NIFTY

Open-10171.95—High-10175.45---Low—10094---Close—10118.05 on 

15-11-2017

Major Support:10089/10043/9994.25/9992---9988/9970/9955.80/9947.809896.48/ 9877.03/9870—48/9792-88/9740/9709.30/9700/9688/9687.55/9685.55

 Major Resistance: 10123.35/10137.85/10178.95/10183.74/10251.85/10301.

                                                                                                                                                                                                                              

For-16-11-17 the intra-day short support and resistance levels are given here-under:-

Support: -10107/10089/10043/9994.25—88/9970/9955.80/9947.809896.48/ 9877.03/9848.13.                                                                                                                

Resistance: 10123.35/10137.85/10178.95/10183.74/10251.85--65/10300--336.

It struggled to stay within its important & key support range of 10178.95--10137.85--10124.50--10123.35 during the day but failed and closed below it which is a bad sign. It is making lower top and bottom on the line chart and since it is falling strait on the bar chart from 10490.45 so there is no question of making lower top but it has broken its recent bottom of 10123.35 on the bar chart today which shows extreme weakness. Furthermore it is also running below its short and medium term moving averages and the averages are pointing down which makes it all the more bearish. The RSI is also showing strong negative divergence on daily, weekly &monthly chart and as it is running below its averages so the divergence may come into play and it may keep moving downward. The overall technical setup as of now is really weak and it is very likely that it may be heading for a sharp fall in coming days, however it may witness in between short pullback rallies from time to time but the trend as of  now is down. So it is a sell on rise market now for sure, therefore it is suggested to avoid long trade till it gives visible indication of bottoming out. Going down it may support at 10089/10043/9994—70/9887—9848. Similarly moving up it will find resistance in the range of 10123.35/10137.85/10178.95/10183.74 & then 10203—10335. Please note that every rise should be used to sell.

It is important to mention here that it’s long term moving averages are placed in the range of 9887---9550(it changes every day and now moving up) for 16-11-17 and it is not far away from it. So please note that break below 9887 will threatened the uptrend and sustained break below 9550 may really put the uptrend in serious danger.

In view of the above observation there is no doubt that it is a sell on the rise market now, so use the above mentioned resistance points and range as sell points with proper stop loss or sell below 10089 with a stop loss of above 10140.

Remark: - The long term trend is up as of now but since it has broken its key support range and its technical setup has also weakened, therefore long trade should be completely avoided. It is clearly a sell on the rise market now, so short trade should 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.