Wednesday, 14 September 2022

A TECHNICAL VIEW ON CNX-BANK NIFTY FOR—15.9.2022

 

CNX-BANK NIFTY

Open-40308.80-High-41626.90-Low-40288.90-Close-41405.40 on 14.9.2022.

Support:41367.25/40881/40685.95/40453/40160.20/40043/39895/39546.50/39424.85/39301.25/ 39197/39117.15/38855.55/38765.55/38377.35/38426.65/38134/38112.75/37988.60/37708.75/37581.05/37471/37238/36993/36876.35/36718.80/36651.85/36497.35/36375.35/36332/36083.70/35985.25/35926/35810.90/35762/35585.20/35543.10/35511/35481.70. 

Resistance: 41829.60/42696/44461/45525/45633.

 (Bold and underlined figures are most important)

On world market negative cues it opened with huge down gap but filled the gap during the day and finally ended the day with a good gain of 532.30 points. It is exhibiting extra ordinary strength and is well above its critical point of 39895 which is an extremely good sign and if it sustain above it on the closing basis then it could retest its all-time high of 41829.60 in coming days or may go beyond it also But if it fails to hold 39895 levels on the closing basis then it may start drifting down. Moving up from here it will face key resistance at 41829.60---42696---44461. Similarly moving down it will find good support at 41367.25---41067.90----40881---40757.70---40685.95----40453---40349---40205---40160.20---39960---39895----39880----39455 break below 41067.90 will push it into very short correction mode, break below 40757.70 will weaken it further, break below 39895 on the closing basis will be an extreme alert point and may put the uptrend in jeopardy and sustained break below the range of 39880---39455 may trigger fresh fall with an accelerated pace. It’s a buy on dip market till it holds 39895 levels on the closing basis.

The overall technical setup is looking strong. The technical indicators have improved and  out of four only one important technical indicators is still showing some weak sign on the daily chart, alone this weakness is not that concerning, therefore if it hold 39895 levels on the closing basis then up move should continue with intermittent correction, else it could start moving down.

In view of the above observation, long trade can be tried if it moves above 41627 and maintain for some time with a stop loss of 41390 or can be tried on decline near or within the range of 41000-----40850 with a stop loss of 40740 and then near and within the range of 40440---40100--- 39895 but not below it with a stop loss of 39750. Although, it is in the long term uptrend but short trade can also be tried after reasonable rise or on price breakdown for intraday corrective gain. Sell on the rise near or within the range of 41850---41950 with a stop loss of 42100 or sell if it moves below 40740 and then below 39895 with a stop loss of 41070& 40050. The short, medium and long term trend is up 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.

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 favourable 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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