CNX-NIFTY
Open-17094.35--High—17280.15--Low-17064.70---Close-17241
on 10.10.2022.
Support: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: 17291/ 17298/17345.20/17354.05/17387.15/17429.70/17484.30/17490.70/17530.85/17639.50
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 the gap during the day and as envisaged it bounced back
from the pullback threshold point of 17066
& 17024 and from the long term
moving average range of 17083—16791(figure
will change every day) but ended the day with a loss of 73.65 points. It is already into major
correction mode as it is well below its threshold point of 17408.75 but it has slipped into short correction mode today for
its recent rise also as it slipped below its threshold point of 17268. But please note that as long as
it holds its long term moving averages range of 17083—16791(figure will change every day), chance of bounce back will always be there but
sustained break below this range may accelerate the fall. Kindly note that to
get into the up 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 it will oscillate in a broad
range of 17354---17083---16791 and
sustained break below 16791 may
witness sharp fall. Moving down from here it may find good support at 17168---17088---17066---17024---17007---16908---16883,
similarly moving up it will find stiff resistance at 17268---17333---17354---17387---17408.5---17422---17472---17581---17643---17685---17778----17827---17920.
Its short term
technical setup is still looking weak as it is below some of its short and
medium term moving averages on the daily
chart, furthermore out of four important technical indicators three are still
weak on the daily chart, which is concerning. Please note that if these
indicators do not improve fast it can drag it down further and it can improve
only if it gives good and sustained up move for the next few days. Please note
that if it fails to give sharp up move in a shortest possible time say in next 3-4 trading sessions and move above its
critical points of 17354---17387 &
17408.75 and sustain on the closing basis then it may start drifting down
again. The undertone is mixed but with a tilt towards downside as of now.
In view of the above observation, it
is into major correction mode but despite both side swing today it is well
above its pullback threshold points of 17024
& 17066 and long term moving average range of 17083—16791(figure will change every day) also. Therefore both side
trades can be tried depending on the price movement till it breaches 16791 marks. For safe traders it is
suggested to try long trade once it closes above 17408.75 and sustain or on the decline near 17083 with a stop loss of 17000,
but aggressive traders can try long trade if it moves above 17332 and maintain for some time with a
stop loss of 17255 or can buy on
decline at appropriate points with self defined stop loss or near or within the
range of 16890-----16790 with a stop
loss of 16730. 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 points. Similarly
short trade can be tried on the rise near or within the range of 17387---17410 with a stop loss of 17460 or sell if it remains below 17268 for some time with a stop loss of
17340.It is into major correction
mode but long term trend still seems to be o.k.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.
No comments:
Post a Comment
Thank you for sharing your views.