A TECHNICAL VIEW ON CNX-NIFTY FOR –12.8.2020

 

CNX-NIFTY

Open-11322.25--High-11373.60—Low-11299.15—Close-11322.50 on 11.8.20203

Support:11270/11239.80/11171.55/11158/11114/11056.55/10991/10894.05/10882/10847.85/10676.55/10583.65/10562.90.

Resistance:11341.40/11378/11447.

Critical Points moving down: -11270----11239.80---11171.55---11158.

Critical Points moving up: -11341.40---11378---11447.

 (Bold and underlined figures are most important)

It tried to clear its resistance point of 11341.40--- 11378 today but at the end closed below it, however it is above its critical point of 11270 which is a positive sign. The technical setup is still good for continuation of the up move provided it holds 11270 on the closing basis.

Please note that my views and observation in my post for 11.8.2020 will be valid for 12.8.2020 trading session also except for some changes in trading strategy.

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 on decline but not below 11270 with a stop loss of 11230.

2. Sell on the rise near or within the range of 11430---11450 with a stop loss of 11480.It could be a risky trade but worth trying.

Or

Sell if it maintains below 11230 or fall below it at any point of time during the day and stay below it for some time with a stop loss of 11280. It could be a risky trade but worth trying.

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.