CNX-NIFTY
Open-17144.80--High—17328.55--Low-17098.55---Close-17311.80
on 17.10.2022.
Support: 17298/17291/17140/17006/16995/
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: 17345.20/17354.05/17387.15/17429.70/17484.30/17490.70/17530.85/17639.50
17759.30/17777.65/17797/17860/17920/17947.55/17992.70/18096.15/18112.60/18114.65/18217/18342.05/18350.95/18604.45—19329.
(Bold and underlined figures
are most important)
It opened with a
down gap but filled today’s and 14.10.2022
gap during the day and finally ended the day with a gain of 126.10 points. It is exhibiting huge volatility
which is not a good sign for a steady up move. It is still into major
correction mode as it is below its threshold point of 17408.75 but at the same time it is well above its pullback
threshold point of 17066 and its
long term moving average range of 17088—16799(figure
will change every day) which is a positive sign and as long as it sustain
above these points it can continue to inch up, but to get back into steady up move grove again it
has to move above its most important and critical points of 17354---17387 & 17408.75 and
sustain on the closing basis, else weakness may persist which can drag it down
eventually. It is important to mention here that the long term moving average
range of 17088—16799(figure will change
every day) is a very strong support
range for it and it has bounced back from this range quite often in the near
past but coming back near or within the range again and again in a short span
of time is a very weak sign, furthermore certain important technical indicators
as of now suggest that eventually it is going to break this range and if it
does so then fall may accelerate which may be kept in mind. Moving up from here
it may find stiff resistance at 17333---17345---17354---17387---17408.75.
Similarly going down from here it may find good support at 17268---17196---17168---17088---17066---17024---16950---16908---16883---16794---16640---16563---16487---16296---15870---15765.
Its short term technical setup is still looking slightly weak, but the
important thing is out of four important technical indicators three has turned
positive on the daily chart, which is a good sign. Therefore it seems that it
could continue the up move provided it moves above its critical points of
17354---17387 & 17408.75 and sustain on the closing basis else it may drift
down again. The undertone is mixed as of now.
In view of the
above observation, for safe trader’s
long trade can only be tried once it closes above 17408.75 or on decline near or within the range of 17088---17066 with a stop loss of 16980. But aggressive traders can try
long trade if it moves above 17354
and maintain for some time with a stop loss of 17260 or also on decline near or within the range of 16890-----16799 with a stop loss of 16740, Please note that in general long
trade in a corrective market for pullback gains could a risky affair because
pullback rallies are treacherous in nature and can end abruptly trapping the
traders unaware but it can be tried at the most critical and important points.
Since it is in major correction mode therefore short trade can also be tried on
the rise near or within the range of 17480---17520
with a stop loss of 17560 or
sell if it moves below 17268 with a
stop loss of 17335. It is into major
correction mode and it keep threatening its long term trend time and again
which is not a good sign.
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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