Open-35205.40--High-36567.65--Low—35060.65—Close-36452.30
on 24.2.2021
Support:36397/36086/35884/35815.75/35648/35584.60/35428.15/32842.30/32718.75/31725.85/31650.90/31510.25/30945.20/30893.65/30197.85/29687.70
Resistance: 36615.20/36647/36897/37170/37284/37708.25/38286/38520.
(Bold and underlined figures are most
important)
As anticipated it gave a robust pullback rally today
and closed with a whopping gain of 1335.35
points. Looking at today’s rise it is expected that this rally may last few
days provided it holds 36192 ---35815.75
& 35648 levels on the closing basis. Please note that its critical and
most important points for the year 2021
are 32613.10---32465.45---31297.30 &
31264.05 and it is well above these points now and as long as it hold these
points on the closing basis uptrend will remain intact. Its other key points
are placed at 35815.75---35648---33625---32612.92(figures
can change). It is above its all the key points now but sustained close
below 35815.75 & 35648 can push
it again in short term correction mode which can few day again, sustained break
below 33625 will push it into medium
term correction mode and it can last even longer and most importantly sustained
break below 32612.92 on the closing
basis can push it into long term correction mode and can potentially threaten
the uptrend also, which may please be noted.
It gave a strong up move today which indicate that it is in
the pullback mode and if it holds the levels of 36192 ---35815.75 & 35648 on the closing basis then this rally
can last for few days and it could move up to 36665---37064---37163, please note that this rally can fizzle out
also at any of the points or earlier also but if it moves above 37163 and sustain on the closing basis
then it can resume the steady up move again. Similarly moving down it can find
support at 36192---35959---35815.75---35771---35620---35584---35351---35294---35116---34976
levels and can bounce back from any of these points but sustain break below 35620 as of now can end the up rally
and it could start move down again. Please note that the short term technical
setup is slightly weak now but the long term setup is still o.k.
In view of the above observation it seems that the pull back rally may
last for few days therefore long trade can be tried for taking advantage of the
pullback rally. One can buy if it maintains above 36568 for some time, it is suggested to avoid buy on decline for
the day, however aggressive traders can buy on decline at appropriate points also
but not below 35815.75. In this
context please note that pullback rallies are treacherous in nature and can end
abruptly also therefore be alert and extremely cautious in the long trade for
pullback gains. Since it
is in pullback mode therefore short trade in general should be avoided but can
be tried after a reasonable rise in the appropriate range or on the price
breakdown for taking advantage of the intraday down correction or otherwise but
with extreme alertness and caution because the long term technical setup is still
o.k. as of now.
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 36568
for some time with a stop loss of 36400.It could be a risky trade.
Or
Buy on decline near but not below 35815 with a stop loss of 35580.It
is for aggressive traders and could be a risky trade.
2. Sell if it maintains below 35915 for some time
with a stop loss of 36050. It could be a risky trade but worth trying for
intraday correction.
Or
Sell on the rise near the
range of 37165--37250 with a stop loss of 37350.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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