Open—18382.70--High—18384.20—Low—18048---Close-18178.10
on 21.10.2021.
Support:18081/17971/17947.65/17920/17840/17792.95/7756/17700/17613/17576.10/17452.90/17436.50/17326.10/17254.20/17055/16701.85/16656.60/16376.05/16349.45/16162.55/15962.25.
Resistance: -18332.70/18350.75/18604.50/18778/19549/19575/19639/20390.09/20656.
(Bold and underlined
figures are most important)
It continued its down move today and
closed with a loss of 88.50 points. It is into very short term
correction mode now and to come out of it, it has to move above 18332.70 and sustain on the closing basis,
here please note that even if closes above 18179.32(it
closed shade below this today) and sustain on the closing basis then
chances are that it could stage a pullback rally and can make an effort to come
out of corrective mode and may resume the up move again, else correction may
deepen and may continue for some time. Moving down its critical support points
could be at 18151---18140---18078.55---18048---18028---17938---17860---17724---17452(figure
may change), it is already into very short term correction mode now, break
below 18078.55---18028
& 17860 will weaken it further and push it into deep short term
correction mode and sustained break below 17452 on the closing basis will indicate that
the on-going uptrend may be in jeopardy. Similarly moving up it will face stiff
resistance at 18240---18285.80---18302.75---18332.70---18360---18407---18478---18512---18525---18550---18605---18778---19549---19575---19639(figures
may change) and it could react from any of these points and then may resume
the uptrend again or may break down also which may please be noted.
It is important to mention here that its
long term technical setup is still good for the
uptrend to continue. It is in correction mode now therefore further fall cannot
be ruled out if it remains below its critical point of 18179.32 & 18332.70 on the closing basis. However, sharp bounce back from day’s low point today gives
some glimmer of hope that it could stage a pullback rally from here. Please
note that few technical indicator are still weak which is also concerning. It
is therefore suggested to be extra alert and cautious in long trade till
correction completion sign emerges.
In view of the above, since it is
into correction mode therefore for safe traders long trade can be tried only if
it closes above 18332.70 and sustain or when it gives a visible indication
of correction completion at the lower levels. However aggressive traders can
try long trade if it moves above 18180
and maintain for some time or on decline
at appropriate points or near the range of 18078.55---18048---18028 but not below it. Please note that long trade
in a corrective mode could be a risky affair, therefore one should be extremely
cautious in the long trade at this point of time. It is in the long term uptrend but now in
correction mode, therefore short trade can also be attempted
on the rise and at appropriate point or can be tried on the price breakdown for
taking advantage of the intraday gains. Please be extra alert in the short
trade because it is in strong long term uptrend 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 (Suggested)
1. Buy if it moves above 18180 and maintain for some time with a
stop loss of 18130. It is for the aggressive traders and could be a risky
trade.
Or
Buy on decline at appropriate point or near or within the range of
18078—18048---18028 but not below it with a stop loss of 17950. It is for the aggressive
traders and could be a highly risky trade.
2. Sell if it remains below
18179 and maintain for some time with a stop loss of 18255. It could be a highly
risky trade but worth trying for intraday gain.
Or
Sell on the rise near or
within the range of 18340---18360 with a stop loss of 18390. 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.
No comments:
Post a Comment
Thank you for sharing your views.