Open—18154.50--High—18310.45—Low—18099.30---Close-18268.40
on 26.10.2021.
Support:18118.60/18034.35/17968.50/17947.75/17613.15/17576/17452.90/17326.10/17254.20/17055/16701.85.
Resistance: -18332.70/18604.50/18778/18817/18950/19505/19549/19575/19639/20390.09/20405/20656.
(Bold and underlined
figures are most important)
It opened on a positive note and went
up further and closed with a gain of 143 points today. It is still into very short
term correction mode but since it closed above its first critical point of 18118.60 yesterday, so as expected it
gave a decent pullback move today and if it holds this point on the closing
basis then the chance are that it could cross the correction completion
threshold point of 18332.70 in
coming days and will come out of it. Furthermore if it moves above 18477.30 and sustain on the closing
basis then it could resume the up move and may possibly retest its all-time
high of 18604.45 or may go beyond it
also. Similarly break below 18118.60
will weaken it again. But as long as it holds the range of 18002---17925---17830(figures will increase every day) there is no
major threat to the on-going up move, which may please be noted. Moving down
its critical support points could be at 18118.60---18078.55---18028---17875---17860---17775---17724---17452(figure
may change), it is still into very short term correction mode now, break below 18118.60 will weaken it, break below 18078.55---18028
will push it into short term correction mode, break below 17860 will
push it into deep short term correction mode, break below 17775 will weaken it further and
finally 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 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. Despite todays up move it is still into very short term correction
mode therefore further fall cannot be ruled out if it remains below its
critical points as mentioned above. Furthermore please note that few technical
indicator are giving weak indication which is also concerning and may
accelerate the fall in coming days. It is therefore suggested to be extra alert
and cautious in long trade till correction completion sign emerges.
In view of the above, it is still
into correction mode therefore safe traders can try long trade only if it
closes above its critical points
18332.70 or if it gives visible indication of correction completion at the
lower levels. However, aggressive traders can try long trade if it moves above 18287 and maintain for some time or can
try buy on decline near 18118.60 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 18287 and maintain for some time with a
stop loss of 18200. It is for the aggressive traders and could be a risky
trade.
Or
Buy on decline at appropriate point or near 18118.60 but not
below it with a stop loss of 18090. It is for the aggressive traders and could
be a highly risky trade.
2. Sell on the rise near or
within the range of 18330---18360 with a stop loss of 18390. It could be a
highly risky trade but worth trying for intraday gain.
Or
Sell if it moves below 18114
and maintain for some time with a stop loss of 18170. 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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