Tuesday, 13 September 2022

A TECHNICAL VIEW ON CNX-NIFTY FOR—14.9.2022

 

CNX-NIFTY

 Open-18044.45--High—18088.30--Low-18015.45--Close-18070.05 on 13.9.2022.

Support: 17992.70/17947.55/17925.95/17920/17860/17797/17794/17777.65/17759.30/17639.50/17490.70/17485.70/17387.15/17354.05/17345.20/17298/17140/17003/16995/16894/16891.70/16888.70/16824.70/16793.85/16752.40/16701.95/16695/16627/16588/16565/16541/16490/16472/16410.20/16376.05/16275.50/16203.25/16172.60/16162.55/16133.57/15991/15986.42/15962.25/15914/15895/15775/15735.75/15671.45/15632.72/15578.55/15566/15513.45/15511.05/15450.90/15431.75/15367.50/15183.40.                                                                                                                                                           

Resistance: 18112.60/18114.65/18217/18342.05/18350.95/18604.45—19329..

 (Bold and underlined figures are most important)

It opened with an up gap and went up further and finally ended the day with a gain of 133.70 points. Please note that the gap it created today and on 8.9.2022 is still there and if it makes an effort to fill this gap in next 3-4 & 1 trading session respectively which is technically possible then it can come down to 17980 & 17650. Please note that if it does not fill the gap in the stipulated time then chances of filling the gap will recede for the time being. It is showing good strength and most importantly it is well above its critical point of 17920 which is hugely positive. Kindly note that if it holds 17920 levels on the closing basis then there is a strong possibility that it could retest its all time high of 18604.45 or may go beyond it also, but sustained break below 17920 could drag it down. Moving up its key resistance points would be at 18114.65---18217---18308---18350.95---18503---18604.45---19329. Similarly moving down it will find good support at 17992.20---17939.99---17920---17864---17797---17784----17713---17644---17624 break below 17939.99 will push it into very short corrective mode, break below 17920 will be an extreme alert point and may put the uptrend in danger, break below 17864 may weaken it further, break below 17644 & 17624 may trigger fresh fall with an accelerated pace, going down further it has a bed of strong support in the range of 17387.15---17377---17354.05---17345.20---17329.32---17312.90 you would recall that it has bounced back from this range recently couple of times; therefore till it holds this range chances of up move may remain intact, but sustained break below this range on the closing basis may begin a steady down move which may please be noted. It is buying on dip market now as long as it holds 17920 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, which is not that concerning, therefore if it holds 17920 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 for safe traders long trade can be tried if it moves above 18115 and maintain for some time with a stop loss of 18050 or can buy on decline at appropriate points or near 17920 but not below it with a stop loss of 17870. But aggressive traders can also try long trade on decline near or within the range of 17736---17670 with a stop loss of 17620. Please note that long trade below 17920 could be a risky bet for the day. 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 18150---18170 with a stop loss of 18220 or sell if it moves below 17870 with a stop loss of 17945. 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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