Open—13512.30--High—13579.35—Low—13402.85---Close-13513.85
on 11.12.2020.
Support:13435.45/13418/13365/13242/13145.85/12963/12790.40/12730.25/12607.70/12430.50/12293.90/12286.45/12246.70/12158.80/12025.45/11929.60/11802.65/11794.25/11614.50/11535.45.
Resistance: 13549/ 13580/13611/13650/13721/13768/14296.
(Bold and underlined
figures are most important)
After yesterdays shallow correction it move up today and closed with a small gain of 35.55 points. It is well above its most critical and important points which are placed at 13300--12905 & 12800 for 14.12.2020(figures can change every day) and also above other key points which are at 13393.16---13378.96---13096.99---12921.11---12430.5---12147.24(except for 12430.50 other figures can change)which is positive sign for the up move to continue. Please note that sustained break below 13393.16 & 13378.96 can push it into very short correction, sustained break below 13096.99 on the closing basis will push it into short term correction mode, sustained break below 12921.11 will push it into medium term correction mode, sustained break below 12430.50 will indicate that it could lose steam for continuation of the up move and most importantly sustained break below 12147.24 on the closing basis can push it into long term correction mode and will potentially threaten the uptrend also, which may please be noted. It is important to mention here that sustained break below its most critical and important points of 13300--12905 & 12800 on the closing basis could be an indication of big fall ahead.
The overall technical setup is looking strong for the up move to continue;
furthermore the negative divergence has also faded out, which is an extremely
good sign. After yesterdays correction it moved up and made new all time high
but could not cross its recent top of 13529.10
on the closing basis on the line chart, therefore if it does not cross. 13529.10 on the closing basis and falls
to close below 13478.30 before then
correction could still happen and this time it could be slightly deeper, which
may be kept in mind. The bias is on the upside as of now.
Moving down its critical support points at 13478.30---13399.30---13393.16---13378.96---13300—13277.97---13145.75---13096.99---12921.11---12905---12790---12730---12709.05---12607.70---12557---12430.50.---12147.24.
Moving up its critical resistance points at 13548.90---13611—13650---13721—13768---13791---14034.
In view of the above observation, for safe traders it is suggested to
try long trade if it moves and maintain above 13530 for some time or can buy on decline but not below 13478. However aggressive traders can
buy on decline up to 13393 but not
below it. Please note that buying below 13478
could be a risky trade for the day mind you. It is in strong up momentum
therefore short trade in general should be avoided, but it can be attempted on
the rise at the appropriate price range or on the price breakdown for taking
advantage of the intraday corrective move. I would once again reiterate that
one should be extremely cautious and careful in the long trade at this point of
time.
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 13530 for some time with a
stop loss of 13470.
Or
Buy on decline near 13478 but not below it with a stop loss of
13460. It could be a risky trade
Or
Buy on decline at appropriate points or near 13393 but not below
it with a stop loss of 13365.It is for aggressive traders. It could be a risky
trade.
2. Sell on the rise near or within the range of 13625---13650
with a stop loss of 13680. It could be a risky trade but worth trying for
intraday gain. Square off the trade in any case before the day ends, but can be
carried forward if the trade is in substantial profit else not.
Or
Sell near if it does not move above 13580 even in
intraday trade for first hour of trade with a stop loss of 13615. It could be a
risky trade but worth trying.
Or
Sell if it moves and maintains below 13365 for
some time with a stop loss of 13410. It could be a highly risky trade but worth
trying for intraday correction.
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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