A TECHNICAL UPDATE ON CNX-BANK NIFTY—10.3.2023

 

CNX-BANK NIFTY

Open-41532.65-High-41659-Low-41208.10-Close-41256.75 on 9.3.2023.

Support: 41095.10/40819.15/40312.90/40288.90/39868.85/39600.25/39419.80/39419.80/39258.25/39197.20/38765.85/38437.95/38426.65/37950---943/37581.05/37386.35.

 Resistance: 41569.45/41643.90/41677.65/41729/41791.95/41829.60/41840.15/41877/41979.10/42078.90/42202.55/42555.15/42622.75/42716.80/42740/42880/42948/42986.45/43038.25/43081/43339.15/43498.05/43515.05/43578.40/43614.65/43853.40/44151.80.                       

 (Bold and underlined figures are most important)

It is still in the deep corrective mode therefore all the observation in my last post of 6.3.2023 will remain valid for the rest of the week except for the following.

1.     The long term moving average range is placed between 41264--39215(figures will change every day, this is very strong support range) for the day.

It gotten into deep corrective mode today as it closed below its threshold point of 41352, furthermore it has just fallen within its long term moving average range which is a weak sign and if it does not bounce back sharply above the moving average range and 41352 then the fall may deepen. However as it is well above its major pullback trigger point of 40537, therefore as long as it holds this level chances of pullback up will be alive.

The important technical indicators are positive on the daily chart, so if price action remains o.k. then indicators will eventually help the continuation of the up move. The price action was very weak today and if remains weak for a couple of days then the indicators can turn negative and fall may accelerate, which may be kept in mind.

TRADING VIEW: - Long trade can be tried if it moves above 41352 and maintain for some time with a stop loss of 41190 or buy on decline near 40537 with a stop loss of 40250 for pullback gains. Please note that long trade below 41352 could be a risky affair for the day.

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.