Open—11890--High—11939.55—Low—11823.45---Close-11896.45 on 22.10.2020.
Support:11832.30/11802.65/11794.25/11775.75/11761/11694.85/11633/11618.10/11584/11549/11507.65/11490.75/11460.35/11447/11373.60/11341.4011305.60/11270/11242.65.
Resistance:11929.60/11981.75/12025.45/12034.15/12041.15/12103.05/12158.80/12246.70/12283-12294/12430.50.
(Bold and underlined
figures are most important)
It did not showed the desired strength today and corrected; furthermore
it made a lower top of 11937.65 on
the line chart which is slightly concerning, but it has not made a lower bottom
as yet which is comforting and a positive sign as of now for the up move to
continue. It is also way above it key points of 11803 & 11733(figures can change with the change in prices) which
is also a good sign. It is important to mention here that to resume the up
momentum from here it has to move and close above 11937.65 first and then move above 11971.05---12025.45---12068 levels on the closing basis to
provide strength and speed for the up move else it may correct further from
here, which may please be noted. Therefore sustained close below 11800 or precisely below 11794 can put the ongoing up move in
danger and sustained close below 11733
can push it into correction mode and the down move may accelerate.
Moving down it will find support
at 11832---11803---11786---11733---11694.85---11661---11618---11584---11549.
Moving up the upside target or the resistance points could be at 11971.05--12025.45---12041.15---12068---12130---12178---12415---12430.50.
In view of the above observation it is suggested for the safe traders
to avoid long trade on the decline for the day but it can be tried if it
maintains above 11940 for some time.
However aggressive traders can try long trade if it maintain above 11940 or on the decline at the
appropriate points but not below 11786.
Please note that trying long trade on decline may be a risky affair for the day.
Since it has made lower top on the line chart, so possibility of further
correction from here cannot be ruled out therefore short trade can also be
attempted after a reasonable rise at appropriate range or on the price breakdown
for taking advantage of possible intraday correction or may be long correction.
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 moves and maintain above 11940 with a stop loss of 11870.
It could be a risky trade but worth trying.
Or
Buy on decline but not below 11786 with a stop loss of 11725.It
is for aggressive traders. It could be a highly risky trade but worth trying.
2. Sell on the rise near or within the range of 12040---12070
with a stop loss of 12100 It could be a risky trade but worth trying for
intraday corrective move.
Or
Sell if it does not move above 11940 in first 2 hours of trade with
a stop loss of above 11980. It could be a highly risky trade but worth trying.
Or
Sell if it moves and maintain below 11725 for some time with a stop
loss of 11805. It could be 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
Mobile—8240951127/9831313654.
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