Open—16385.70--High—16543.60—Low—16376.30---Close-16529.10
on 13.8.2021.
Support:16240/16223/16180/16162.55/16074/16024/15962.25/15920/15915.65/15899.80/15885.75/15877/15835.55/15780/15673.95/15635.95/15632.75/15606.55/15578.55/15566/15471/15450.90/15431.75.
Resistance: -16677/16688/16996/17415/17504/19575/20390.
(Bold and underlined
figures are most important)
It opened on a positive note and went
up further and moved above its first tough resistance range of 16289---16446 and closed with a robust
gain of 164.70 points, which is a
very positive sign. It looks good for the continuation of the up move and the
upside target or resistance points could be 16688---16740---16821---16885---16996---17415---17504---19575---20390,
please
note that moving up the 2nd critical
and tough resistance range would be 16740—16885 so please be
careful in this range it may correct here before moving up further. Similarly
moving down its critical support points are at 16455---16381---16300(these figures may change) and please note that break below 16300(it may change) could push it into very short term correction
mode, but as long as it holds 15962.25
level there is no major threat to the long term uptrend. The other support
points will be at 16223---16162---16133---16084---15962.25, sustained break
below 15962.25 may accelerate the
fall.
It is important to mention here that
its long term technical setup is good for the uptrend
to continue. The short term outlook is also strong; furthermore one very
important technical indicator has also become positive on the daily and weekly chart
which is an extremely positive sign. Therefore further rise is ahead in coming days
with intermittent corrections. It is a buy on dip market now but one should be
cautious if it breaks 16300 and
sustain on the closing basis. The bias is bullish as of now.
In view of the above observation, long
trade can be tried if it moves above 16545
and maintain for some time or on
decline at appropriate point or near 16300
but not below it. It is in strong up move but still below some of its very critical
long term averages, therefore short trade can also be tried after
reasonable rise or can be tried on the price breakdown for taking advantage of
the intraday gains.
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 if it moves above 16545 and maintain for some time with a
stop loss of 16500. It is for both the traders. It could be a risky trade.
Or
Buy on decline at appropriate points or near 16300 but not below
it with a stop loss of 16240. It is for both the traders.
2. Sell on the rise near or
within the range of 16660---16680 with a stop loss of 16710. It could be a
risky trade but worth trying for intraday gain.
Or
Sell if it moves below 16300
and maintain for some time with a stop loss of 16350. It could be a highly 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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