A TECHNICAL UPDATE ON CNX-NIFTY—30.6.2023

 

CNX-NIFTY

 Open-18908.15--High—19011.25--Low-18861.35--Close-18972.10 on 28.6.2023.

Support: 18887.60/18886.60/18881.45/18794.10/18864.70/18778/18696.10/18660.65/18604.45/ 18555.40/18531.60/18464.55/18458.90/18350.95/18265.25/18210.25/18202.40/18201.25/18134.75/18131.70/18114.65/18105.30/18060.40/18042.40/17959.20

Resistance: 18991/19035/19104/19138/19275/19303/19450/19498/19535/19639/19663/19674/19748/20160.

 (Bold and underlined figures are most important)

It hit a new all-time high of 19011.25 and closed above its previous high of 18887.60 which is indicating good strength for the continuation of the up move. The overall chart setup is strong, moving average placement is good  and price action is also good but three out of four technical indicators are still negative despite the robust rise today, however if  the price action and moving average placements  remains good indicators may turn positive in coming days. So watch out.

Moving up from here it may face resistance at 19035---19104---19138----19275---19303. Similarly going down its support points could be at 18925---18904---18887.60---18882---18840---18820---18786---18710(figures may change), break below 18925 will push it into very short correction for its recent rise, break below 18887.60 will be an alert point, break below 18840 will indicate weakness and finally it may lose upside steam for a while if it moves below 18710 and sustain on the closing basis. 

It is in the long term uptrend and buys on decline market now but in view of weak technical indicators now, one should be vigilant and not fearless in the long trade at this point of time.

TRADING TIPS:--

1. Long trade can be tried on decline at appropriate points or near 18840 and not below it with a stop loss of 18810 or if it moves above 19012 and maintain for some time with a stop loss of 18960.

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 19090----19110 with a stop loss of 19140.

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.