Open—12702.15--High—12741.15—Low—12624.85---Close-12690.80
on 12.11.2020.
Support:12430.50/12328/12294/12283/12246.70/12178/12159/12103.05/12041.15/12025.45/11981.75/11929.60/11841.30/11832.30/11803/11794.25/11775.75/11761/11661/11633/11618.10/11614/11584/11535.45/11507.65/11490.75/11460.35/11447/11373.60/11341.4011305.60/11270/11242.65.
Resistance: 12770/12818/13419/13611/13640/1377914334/15043.
(Bold and underlined
figures are most important)
As anticipated for the last few
days it finally corrected on the closing basis today but it is well above its
key points of 12478.40---12430.50---12302.60---11528.70,(
except for 12430.50 other figures can
change), which speaks of tremendous strength.
Kindly note that it’s most important benchmark point is its previous major top
of 12430.50 and sustained break
below this mark will reduce the chances of resuming the up move again for the
time being. But break below 12478.40 on
the closing basis will push it into short term correction mode, sustained break
below 12430.50 will indicate that it
could lose steam for the up move, sustained break below 12302.60 will push it into medium term correction and most
importantly sustained break below 11528.70
can push it into long term correction mode and will potentially threaten the
uptrend, which may please be noted. Similarly if it moves and maintains above 12749.15 ---12770---12818 on the
closing basis then it may resume the up move again. In light of its inherent
strength it seems that correction may not last long if it manages to hold 12430.50 on the closing basis. But the
only concern is that the gap it created on 9.11.2020
is still there and it can still make an effort to fill the gap tomorrow and in
that case it can come down to 12280
levels but if did not fill the gap tomorrow
then concern for filling this gap may be over for the time being. The
overall technical setup is strong and indicates further up move ahead in coming
days but off course with intermittent correction.
Moving down its critical support points at 12624.85---12478.45---12430.50---12302---12280---12152---12025---11826---11782---11528.70---11257---11186.
Moving up its critical resistance points at 12770---12818---13419---13611—13640.
In view of the above observation long trade can be tried, if it moves
and maintains above 12818 for some time or on the decline at
appropriate points or near 12478.40
& 12430.50 but not below it for
the day. Please note that long trade on decline could be a risky affair for the
day so for safe traders it is suggested to avoid it for the day. Aggressive
traders can also try long trade if it moves and maintain above 12750. 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 if it moves and maintain above 12818 for some time with a
stop loss of 12740.
Or
Buy if it moves and maintain above 12750 for some time with a
stop loss of 12700. It is for aggressive trades.
Or
Buy on decline at appropriate points or near 12478 &
12430.50 with a stop loss of 12400. It is for aggressive trades.
2. Sell if it does not move above 12818 in first
hour of trade with a stop loss of 12840. It could be a risky trade but worth
trying for intraday corrective move.
Or
Sell if it moves and maintains below 12400 for
some time with a stop loss of 12490. It could be a risky trade but worth
trying.
Or
Sell if it moves and maintain below 12624 for some
time with a stop loss of 12700. It could be a highly risky trade mind you.
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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