A TECHNICAL UPDATE ON CNX-BANK NIFTY—28.6.2023

 

CNX-BANK NIFTY

Open---43804.55---High—44194.65---Low---43693.15---Close---41121.50 on 27.6.2023.

Support: 44095.25/43874.05/43706.15/43614.65/43598.20/43397.50/43390.30/43078.90/43044.07/43038.25/42986.45/42822.15/42740/42582.20.

Resistance: 44151.80/44220.10/43266/44340/44459.25/44498.60/44592/45525/45658.                

 (Bold and underlined figures are most important)

The view and observation posted for 26.6.2023 will also be relevant for 28.6.2023 with the following addition or modification in figures and partly in views.

1. It has to maintain above 43925(figure will change every day) on the closing basis to have the requires strength for the up move, similarly sustained break below 43770(figure will change every day) on the closing basis will lose the up steam and it may head down, but it will get out of the corrective mode and may pick up momentum only if it moves above 44151.80---44237--- 44268 and sustain on the closing basis. It is important to mention here that it can pick up good momentum if it closes above 44151.80 and sustains but strong up momentum and good rise can only be expected once its crosses its all-time high of 44498.60 and sustain on the closing basis. Moving down if it holds above 43618(figure may change) on the closing basis then the chance of  up move rally will  be  alive.

2. It did bounced back today in a desired manner but it has to be seen whether it carries on today’s momentum or not in coming days. Please note that if it fails to cross its key points mentioned above in next 2-3 trading sessions then it may head down again.

TRADING TIPS:--

1. Safe traders should avoid long trade till correction completion sign are visible or it closes above 44151.80 at least. However, aggressive traders can try long trade on decline near 43925 with a stop loss of 43760 or if it moves above 44200 and maintain for some time with a stop loss of 44030. Please note that as it is in corrective mode therefore long trade could be a risky affair, furthermore three out of four technical indicators are still negative despite today’s good rise, so be alert and cautious in the long trade.

2. As it is still into short correction mode therefore short trade can also be attempted on the price rise or on the price breakdown for intraday corrective gains. One can try short trade on the rise near or within the range of 44440---44490 with a stop loss of 44650 or sell if it maintains below 44151.80 for some time with a stop loss of 44270.

IMPORTANT NOTE:-- It is in the long term uptrend and buy on decline market, but it is in correction mode now, so long trade could be risky bet , therefore it is suggested to be extra alert and cautious in the long trade and safe traders should avoid it at all till correction completion sign emerges because correction may take an ugly turn also therefore it has to be seen in next few days how correction  culminates eventually. Please note that market will give ample signal of correction completion. So watch out.

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

Email—suranank@gmail.com

Mobile—8240951127/9831313654.