A TECHNICAL UPDATE ON CNX-NIFTY —24.2.2023

 

CNX-NIFTY

 Open-17574.65--High—17620.05--Low-17455.40---Close-17511.20 on 23.2.2023.

Support: 17493.55/17452.90/17429/17405.55/17353.40/17342.10/17326.10/17254.20/17166---17161/16950/16888/16836—833---809/16747.70.

Resistance: 17637/17719.75/17761.40/17774.25/17795.55/17959.20/17972.70/17992/17812/18105.30/18114.65/18132/18134.75/18141/18183.75/18210.15/18265.25/18350.95/18442.15/18473.35/18604.45/16696.10/18887.60.

 (Bold and underlined figures are most important)   

It is into deep corrective mode and still within the range of its long term moving average which is placed between 17865---17264(figures will change every day, this  is very strong support range) for the day, furthermore it is below its short & medium term moving average on the daily chart and some are below on the weekly chart also, almost all important technical indicators have turned negative on the daily chart and you are well aware that indicators are already weak on the weekly and monthly chart(see my post of 20.2.2023),  lastly and most importantly it is well below its major pullback trigger point of  17715(the trigger points will be scale down once it breaks its recent low of 17353.40) which indicates end of the rally. The overall technical setup is very weak. Therefore please note that if does not bounce back sharply in next 1-2 trading session (chances of which looks bleak at this point of time) and move above some of its critical points (see my post of 20.2.2023) and sustain then the accelerated fall looks inevitable in coming days. However short relief rally can happen during the fall if it moves above 17616(it will be scaled down once it breaks 17455.40) and sustain but reasonable and good pullback rally can only be expected if it sustains above 17715 on the closing basis. The other observation & figures in my post of 20.2.2023 will remain valid for the week ending on 24.2.2023 except for the long term moving average range, which will change every day. The undertone is bearish.

The important key support points on the down slide would be at 17470---17353.40---17252---17161---17035---16950---16747.70.

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

Email—suranank@gmail.com

Mobile—8240951127/9831313654.