A TECHNICAL VIEW ON CNX-NIFTY FOR--30.6.2020

CNX-NIFTY

 

Open-10311.95--High-10337.95—Low-10223.60—Close-10312.40 on 29.6.2020

 Support:10288/10194/10172/10038/9970.80/9944.40/9889.05/ 9881.15/9700/9685.55/9584.50/9544.

Resistance: 10315/10328.50/10383/10471/10553.15/10583.65/10637.15.

Critical Points moving down:-10288---10194.5--10168---10038—9944.40—9889.05--9881.15.

Critical Points moving up:-10315—10328.50--10471--10584.

(Bold and underlined figures are most important)  

It has made lower top of 10383 today, it did break its recent bottom of 10288.90 on the line chart intraday but managed to close above it which is good, but lower top and close below its critical point of 10315 & 10328.50 is a weak sign. However if it move up on 30.6.2020 and closes above its above mentioned critical points and finally closes above its recent top of 10383 and intraday top of 10409.85 then it could regain up momentum again. Similarly break below 10288.90 on the closing basis and break below 10194 & 10168 on the intraday basis could end the ongoing up move for the time being and down move may accelerate.

In view of the above observation, safe traders should avoid long trade till it closes above 10409.85 but aggressive traders can try long trade if it maintains above 10340. Since it has made lower top so chances of up move exhaustion looks imminent, therefore short trade should also be attempted at appropriate points or on the price breakdown.

NOTE: - If it opens up with huge gap up then wait for it to settle down before initiating long position, but short trade can be attempted on huge gap up if it is near the selling point and vice versa . Since, it is showing volatility so any type of trade should be squared off during the day, if you don’t have reasonable profit margin in the trade. Day squaring off is strongly suggested in any case.

TRADING STRATEGY

1. Buy if it maintains above 10340 with a stop loss of 10270.It could be a highly risky trade.

 

2.Sell if it maintains below 10280 for some time with a stop loss of 10340.

Or

Sell if it maintains below 10194.50 for some time with a stop loss of 10230.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.