CNX-NIFTY
Open—17566.10--High—17566.10—Low—17442.80---Close-17534.75
on 10.8.2022.
Support:17490.70/17387.15/17382/17354.05/17298/17140/17003/16995/16894/16891.70/16888.70/16824.70/16793.85/16752.40/16701.95/16695/16627/16588/16565/16541/16490/16472/16410.20/16376.05/16275.50/16203.25/16172.60/16162.55/16133.57/15991/15986.42/15962.25/15914/15895/15775/15735.75/15671.45/15632.72/15578.55/15566/15513.45/15511.05/15450.90/15431.75/15367.50/15183.40.
Resistance:17639.50/17794.60/17947.55/18112.60/18114.65/18210.15/18342.05/18350.95/18604.45.
(Bold and underlined
figures are most important)
It opened with a small up gap and
moved in a range and finally ended the day with a meager gain of 9.65 points.
It is still above its key point of 17490.70 which is positive sign and
should provide it good strength for the up move to continue if it holds it
during the week, but moving up it will face very stiff resistance for the day in
the range of 17620—640(range will scale up every day) breakout and close
above it may smooth en the up rally. Similarly break below 17490.70 could push it
little down but as long as it holds the range of 17388.15---17387.15---17382---17354.05 there is no threat to the on-going uptrend.
As of now it is on a strong technical footing therefore, it is likely to
continue the up move with intermittent correction, which please note. Moving up
from here its key resistance points would be at 17797---17920---18114.65---18350.95---18604.45
but in between it could face other resistance points too, please note market
could correct from any of these points or earlier also and then may resume the
up move again. Similarly moving down its key support points would be at 17490.70---17387.15---17382---17354.05---17298---17300.05(this
figure will scale up if it moves above 17566.10) ----17172.80----17158.25----17003.
Please note that break below 17490.70 may drag it slightly down,
sustained break below the range of 17388.15---17387.15---17382--17354.05
on the closing basis will make a big dent for the on-going up move, sustained
break below 17300.05 will push it into very short correction mode, sustained
break below 17110 may weaken it further and finally break below 17003.78
may accelerate the fall.
The overall technical setup looks
good as of now, furthermore some important technical indicators are positive on
the daily chart and few indicators on the weekly chart also it is also making
higher top & bottom on the line and the bar chart which is a very positive
sign. Therefore the up move is likely to continue with in between correction
till it breaks the key levels as mentioned above. In view of the above
paragraph for safe traders it is suggested to avoid long trade below 17382 but highly aggressive traders can
still try long trade near or within its second and last support range of 17172.80---17158.25---17115 ,but it may
prove risky which please note. Please note that it is still a buy on dip market
as of now till it signals otherwise.
In view of the above
observation for safe traders long trade can be tried if it moves above 17566
and maintains for some time with a stop loss of 17470 or can try buy on
decline at appropriate points or near 17382
but not below it with a stop loss of 17290.
However, aggressive traders can also try buy on decline near or within the
range of 17172.80---17158.25---17110 but not below it with a stop loss 17060.
Please note that long trade below 17382 could be a risky bet for the
day. Although it is in the uptrend but short trade can also be attempted after
a reasonable rise or on the price breakdown for intraday corrective gains. Sell
on the rise near or within the range of 17640---17660 with a stop loss
of 17720 or sell if it moves below 17340 with a stop loss of 17410.
Since it is in uptrend short trade could be a risky bet but worth trying at
this juncture. The short term bias is positive and medium and long term bias has
also drastically improved but has to be watched out for few days.
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.
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.
m for
strategic guidance to enter and exit trade.
Thanks
Narendra Kumar Surana
Mobile—8240951127/9831313654.
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