A TECHNICAL VIEW ON CNX--BANK NIFTY---6-11-2017

CNX--BANK NIFTY

Open-25531.40--High-25695.50--Low-25394.95—Close-25650.70 on

 3-11-2017

MajorSupport:-25542.73/25475.70/25427.30(on the closing basis)/25198.80/25186.05/25171.75/25105.35/25078.65/24881.26/24878.65/24798.65/24685.43/24560.75.

MajorResistance:- 25695.50/25812.86/25850/26180/26441.80.

For-6-11-17 the intra-day short support and resistance levels are given here-under:-

Support:-. 25561.93/25542.73/25475.70/25427.30/25198.80/25186.05/25171.75/25105.35/25078.65.

Resistance: 25695.50/25698/25813/25850/26180/26441.80.

It opened on a firm note and made a new high and gotten into tough resistance range which is placed at 25561.93---25697.15---25820.40(it changes every day) for 6-11-2017. It ended the week near the high, which is a good sign. The technical setup is o.k. and it is showing good strength, therefore it is likely that it may cross the strong resistance range in coming days/week. But since it is in midst of it now and furthermore the gap it created on1-11-2017 still exist and it could still make an attempt to fill the same in next 1-2 days and if it does that then it can come down to 25078, so the chances of moving down also cannot be ruled out here, therefore due alertness and cautiousness is needed in long trade at this point of time. The key support point for the day would be 25330 and resistance point would be 25698.  

In view of the above observation the broad trading range for the day is 25698---25330 and short trading range is 25698----25561---25440 and sustained break above 25698 can take it up further, else it may trade in short range or very likely to drift on the downside. So, long trade can be tried if it moves and sustain above 25698 with a stop loss of below 25560 or on decline near but not below 25427 with a stop loss of below 25330, it could be a risky trade but worth trying. It would be better and relatively safe to try long trade if it moves and sustain above 25698.

Remark: - The trend is up and price is also firm, but since it is  in midst of it tough resistance range and gap filling chances are also there ,therefore it would be safe to try long call above 25698 and avoid buy on decline today.  

 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.

Note: Price stated here is of spot market.

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.

                                                                                     

Contact me for strategic guidance to enter and exit the trade.