Open-27088.95--High-27595--Low-27068.95—Close-27534.10 on 9.11.2020
Support:27164/26950/26545.70/26492/26408/26311.30/25953.50/25891/25723.55/25426.75/25232.60/25199/25105.35/24823.60/24617.15/24365/24240/24096.75/23912.75/23867.75/23822/23612.70/23605.40/23388/23211.35/23081/22866/22479.85/22439.95/22418.
Resistance27589/27754.45/28525.45/29156.25/29435.05/29612.55/30121.75.
(Bold and underlined figures are most
important)
It has been continuously rising and showing robust strength,
furthermore it has given the breakout on 6.11.2020
from the major down trend line drawn from its all time high of 32613.10 which is an extremely bullish
sign and looking at today’s move it is likely to sustain this breakout,
therefore a big rise may be ahead in it coming days provided it sustains the
breakout.
But the concern is that it has not filled the gap it created on 5.11.2020 and if it makes an attempt to
fill the gap in next 1-2 days time
which is technically possible then it could come down to 25891. However if it does not fill the gap in next 1-2 days then concern for filling this
gap may be over for the time being. It has created another gap today and
similarly if it makes an attempt to fill the gap in next 3-4 days time which is technically possible then it could come down
to 26853 , but if did not fill the
gap in next 3-4 days then concern
for filling this gap may be over too for the time being. Therefore chances of
it coming down to 25891 cannot be
ruled out for the next 2 trading
session at least.
Furthermore it has had a vertical rise
in the last six days from 24120 point so correction is imminent and can happen
any time soon. Please note that now
its key points are at 26655 & 25898(figures
can change with upward price movement) as long as it holds these key points
on the closing basis the ongoing up move will continue off course with
intermittent down correction, but sustained break below 26655 on the closing basis can
push it into short term correction mode and sustained break below 25898 can push it into slightly deeper
correction. Moving down it may find support at-27164---26950---26655---26073---25898---25603---25133---24848---24552---24000.
The technical setup is strong enough as of
now, so even if it corrects it is likely to resume the up move again provided
it bounce back above its key points after correction is over. Moving up
it will face resistance at 28216---28720---29314---29613---30220, please note that if it moves and sustain above 29314 on the closing basis then
it is very much likely to retest it’s all time high of 32613.10 or may go beyond it also. The bias is up as of now. I once again repeat that it is very strong
on the technical footing as of now but at the same time it is highly vulnerable
for correction also, so be watchful and alert in long trade.
In view of the above observation long trade can be tried, if it moves
and maintains above 27595 for some
time or on the decline at appropriate points or near 26655 but not below it. Please
note that long position can be tried above 26655
in any case for the day. Since it is showing robust strength for the
continuation of the up move, therefore short trade should be avoided in general
but can be attempted after a reasonable rise or on the price breakdown for
taking advantage of possible intraday correction or may be for long correction
at times.
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 at appropriate points or near
26655 but not below it with a stop loss of 26530.
Or
Buy if it maintains above 27595 for some time with a stop loss
of 27500.
2. Sell on the rise near or within the range of 28600--28700
with a stop loss of 28800. It could be a risky trade but worth trying for
intraday corrective move.
Or
Sell if it moves and maintains below 26530 for
some time with a stop loss of 26680. 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 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.
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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Thank you for sharing your views.