CNX-NIFTY
Open-9234.05--High-9277.85—Low-9175.90—Close-9199.05 on
7.5.2020
Support:9180/9141/9116.50/9090/9038.90/9000/8967.23/8900/8860/8842.28/8801.14/8672.07/8617/8555/.
Resistance:9270.90/9299/9327.85/9390.31/9468.75/9685.55/9687.55.
(Bold and
underlined figures are most important)
It closed below the previous day’s close today, hence it has made
lower top at 9270.90 and also broken recent bottom of 9205.60 after a long time
and closed at 9199.05, so made a lower bottom also. It thereby confirms that
now the down move should gather momentum. But it is important to mention here
that now a close above 9270.90 and then above 9327.85 & 9390.31 could again
reverse this process and it may start moving up again. Therefore one should be
alert in short trade if it closes above 9270.90&9327.85 and sustain, but
one should think of long trade only if it closes above 9390.31 and sustain. So,
short trade on the rise and on price breakdown would be the best option as of
now.
Moving down it will find good support in the range of 9090---9038
and then 8909—8801---8672, please note that sustained break below 9038 on the
closing basis will further accelerate the fall.
TRADING STARTAGY
1. Sell on the rise in the
range of 9270---9327.85---9390.31 but not
above 9390.31 with a stop loss of above 9430.
Kindly note that the
self defined stop losses can be applied by
the traders but the authentic
stop
loss would be 9430 only.
Or
Sell below 9175 with a
stop loss of above 9260. This is a short stop
loss It could be
triggered but one has to maintain short position again
below 9175 for the day.
Remark: - The long term trend
is down. Since it has made lower top & bottom the down move should
accelerate now. In view of the above observation long trade is a complete avoid
till it closes above 9390.31 and sustain. Only short trade should be attempted
as suggested above. The long term bias is bearish.
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 favourable 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 are of spot market.
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