Open—17906.45--High—17912.85—Low—17576.10---Close-17748.60
on 28.9.2021.
Support:17756/17700/17630/17458/17436.50/17254.20/17055/16701.85/16656.60/16376.05/16349.45/16162.55/15962.25.
Resistance: -17756/17792.95/17920/17947.65/17971/18027/18081/18548/19303.70/19575/20390.09.
(Bold and underlined
figures are most important)
It opened on a positive note today but
could not sustain and plunged down and hit a low of 17576.10 for the day and then recovered sharply to close with a
loss of 106.50
points. It exhibited huge volatility today which is slightly concerning for the
steady up move ,furthermore it slipped
into very short term correction mode, which is a weak sign, moving down further
from here its other critical support or possible buying points will be at 17700---17576.75---17526---17373---17358(figures
may change) break below 17700 on
the closing basis will weaken it further, sustained break below 17576.75 & 17526 will push it into
short term corrective mode(it did
bounced back today from 17576.10) and sustained break below 17358 on the closing basis could push
it into deep short term corrective mode which could drag it down further with
an accelerated pace. Please note that it
could come out of the corrective mode if it closes above 17801 and sustain and if it moves above 17823.40 and sustain on the closing basis then it could retest its
all-time high of 17947.65 or may go
beyond also. Moving up its target points or stiff resistance points could be at
17801---17823.40---17856---17920---17947.65---17971---18027---18062---18081.50---18548(figures
may change).
It is important to mention here that its
long term technical setup is still good for the
uptrend to continue. But it slipped into very short corrective mode again,
furthermore certain important technical indicators are giving weak signal on
the daily chart and today there was huge price destruction also but fortunately
it recovered but it is very concerning, therefore one has to be cautious and
alert in the long trade at least till the indicators turn positive or it
crosses the range of 17801—17823.40 and
sustain on the closing basis. Therefore it is suggested to avoid long trade below
17823.40. The long term bias is
positive as of now. It is in corrective
mode in short term. Please note that if it does not recover fast and move above
its critical points mentioned above in next 2-3 days then down move should continue.
In view of the above observation, it
is into corrective mode therefore safe traders should avoid long trade in
general till correction completion looks visible. However aggressive traders
can try long trade if it moves above 17823.40
and maintain for some time or on decline near 17650 but not below it. Please note that long trade below 17823.40 could be a risky affair It is
in the uptrend but in corrective mode now, therefore short
trade can also be attempted after reasonable rise and at appropriate point 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 on decline near 17650 but not below it with a stop loss
of 17570. It is for the aggressive traders and could be a risky trade.
Or
Buy if it moves above 17823.40 and maintain for some time with a
stop loss of 17770. It is for the aggressive traders and could be a risky trade.
2. Sell it on the rise near 17823
with a stop loss of 17860. It could be a highly risky trade but worth trying for
intraday gain.
Or
Sell if it moves below 17650
and maintain for some with a stop loss of 17725. 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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