Open—14729.15--High—15008.80—Low—14723.05---Close-14982on 24.2.2021.
Support:14977.20/14899/14823.07/14753.55/14653.35/14222.80/13953.75/13777.50/13596.75/13399.30/13145.85/13131.45.
Resistance:15069/15102/15165/15257.10/15305/15325/15431.75/15471.
(Bold and underlined
figures are most important)
It gave a robust up move today and closed above well above 14825(see my post for 24.2.2021) therefore
it is expected that this rally may last for some time provided it holds 14920 and then 14825(this figure will change once
it moves above 15008.80). on the closing basis. Its most critical points for
the year 2021 are 14024.85---13996.11 & 13981.75 and it
is way above these points now and as long as it holds these points on the
closing basis uptrend will remain intact. Its other key points are at 14998.70---14888.80---14336.34---13562.48---12430.50(except
for 12430.50 other figures can change). It is above its all the key points
now but sustained close below 14998.70 & 14888.80 can push it again in
short term correction mode which can few day again, sustained break below 14336.34
on the closing basis will push
it into medium term correction mode and it can last even longer and most
importantly sustained break below 13562.48
on the closing basis can push it into long term correction mode and will
potentially threaten the uptrend and finally sustained break below 12430.50 on the closing basis will
further dampen the uptrend for sure, 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 14998.70—14920---14888.80 & 14825 then this rally can last and it
could move up to 15033—15127.40---15244---15272.50,
please note that this rally can fizzle out also at any of the points or earlier
also but if it moves above 15272.50
and sustain on the closing basis then it can resume the steady up move again.
Similarly moving down it can find support at 14998.70—14920---14888.80---14865---14825---14777---14723----14709---14635
levels and can bounce back from any of these points but sustain break below 14825 as of now can end the up rally
and it could start moving 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 15009 for some time, it is suggested to avoid buy on decline for
the day, however aggressive traders can buy on decline also but not below 14920. 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 sustain above 15009 levels for some time
with a stop loss of 14970.
Or
Buy on decline near but not below 14920 with a stop loss of 14880.
It is for aggressive traders and could be a highly risky trade.
2. Sell on the rise near 15160 with a stop loss of
15200. It could be a risky trade but worth trying for intraday correction.
Or
Sell if it moves and sustain below 14920 for some time with a stop
loss of 14990. It could be a 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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Thank you for sharing your views.