A TECHNICAL UPDATE ON CNX-BANK NIFTY—3.7.2023

 

CNX-BANK NIFTY

Open---44666---High—44787.10---Low---44447.20---Close---44747.35 on 30.6.2023.

Support: 44592/44508.40/44498.60/44459.25/44360/44266/44220.10/44151.80/44095.25/43874.05/43706.15/43614.65/43598.20/43397.50/43390.30/43078.90/43044.07/43038.25/42986.45/42822.15/42740/42582.20.

Resistance: 44812/44939/45179/45210/45525/45658/46268.                      

 (Bold and underlined figures are most important)

It is showing good strength and hitting new high for the last two days. The overall chart setup is strong, moving average placement is good; price action is also strong and most importantly all the four important technical indicators have turned positive today which is very good and positive sign and the up move is likely to continue with intermittent correction in coming days. It is important to mention here that as long as it holds 44151.80 on the closing basis there is no major threat to the up move as of now.

Moving up from here it may face resistance at 44812---44939---45179---45210---45525 it may correct at any of these points and then may resume the up move again. Similarly going down its support points could be at 44498.60---44488---44447---44268---44220---44151.80---44025(figures may change), break below 44498.6---44488 & 44459 will push it into very short correction for its recent rise, break below 44151.80 will be an alert point, break below 44070 will indicate weakness and finally it may lose upside steam for a while if it moves below 43955 and sustain on the closing basis. 

It is in the long term uptrend and its buy on decline market now till it breaks the key points as mentioned above.

TRADING TIPS:--

1. Long trade can be tried on decline at appropriate points or near 44500 and not below it with a stop loss of 44350 or if it moves above 44788 and maintain for some time with a stop loss of 44570.

2. It is in the strong uptrend therefore short trade in general could be a risky affair but it can be attempted on the reasonable rise or on the price breakdown for intraday corrective gains. Short trade can be tried on the rise near or within the range of 45100---45200 with a stop loss of 45300.

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.