Open—15847.50--High—15880.85—Low—15742.60---Close-15767.55
on 16.6.2021.
Support:15678/15629.65/15606.55/15566/15471/15431.75/15336.30/15273.15/15263/15257.10/15176.50/15051.60/14984.15/14888.80/14883.20/14753.55/14653.35/14595/14484.12/14467.75/14459.50/14350.10/14264.40/14248/14222.80/14151.40/14024.85/13996.11/13981.75.
Resistance:-15780/15835.55/15877/15902/ 15920/ 15989/16085/16223/16750/17250/17503/19575/20390.
(Bold and underlined
figures are most important)
After four positive days it corrected
today and closed with a loss of 101.70 points.
It has fallen below its first critical and important point of 15780 which is weak sign and if it does
not bounce back above it and sustain in the next 1-2 trading session then it could correct sharply, which may be
kept in mind. It is therefore suggested to above long trade below 15780. The technical setup is looking
good for the continuation of the up move as of now but with intermittent down
correction and as long as it holds 15471 & 15431.75 levels on the closing basis, then it could still
scale up to 15780---15920---16223---16750---17250---17503---19575---20390
levels, but please note that it
could end the up rally for good at any of these points or earlier also or may
correct at any of these points and then may resume the rally again, both the
possibilities are there which may be kept in mind. Similarly
moving down its critical support points are at 15635.35---15566.90---15488.55---15471---15431.75. Please note that sustained break
below 15635 may push it again into a very short corrective mode, sustained
break below 15566 could
accelerate the fall, sustained break below 15488.55(this figure can change) on the closing basis will push it into deep short
term corrective mode and sustained break below 15471 & 15431.75 on the
closing basis will deepen the correction further and may threaten the uptrend also,
which may please be noted. Moving down other critical support levels will be at
15374---15273---15257---15176---15111---15084---14977---14906---14884.
The long term outlook is positive as of
now.
It is
important to mention here that technically this on-going uptrend is showing enough
strength and looking good for the continuation of the up move but this up rally
is not in sync with the fundamentals and you are well aware that it is the
fundamentals which eventually hold the Priceline. Therefore this on-going up
rally may deceive you at any point of time, so be alert and careful in long
trade henceforth.
In view of the above observation long
trade can be tried if it moves above 15800
and maintain for some time or can buy on decline at appropriate points or near 15635 but not below it. Please note
that long trade below 15780 could be
a risky trade mind you. Since it has not yet crossed some of its critical averages,
therefore short trade can also be tried after reasonable rise
or can be tried on the price breakdown for taking advantage of the corrective
move.
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 (Suggested)
1. Buy on decline at appropriate points with self defined stop
losses or near 15635 but not below it with a stop loss of 15580. It could be a
highly risky trade.
Or
Buy if it maintains above 15800 for some time with a stop loss
of 15730. It could be a risky trade.
2. Sell on the rise near or
within the range of 15880---15900 with a stop loss of 15940. It could be a
risky trade but worth trying for intraday gain.
Or
Sell if it does not move
above15800 in first hour and half of trade with a stop loss of 15840. It could be a risky trade but worth trying for
intraday gain.
Or
Sell if it moves below 15740
and maintain for some time with a stop loss of 15770. It could be a risky trade
but worth trying for intraday gain.
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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