A TECHNICAL UPDATE ON CNX-BANK NIFTY—15.9.2023

 

CNX-BANK NIFTY

Open---46013.30---High—46153.90---Low---45801.50---Close—46000.85 on 14.9.2023.

Support:45893.80/45782.75/45655.50/ 45238.80/45118.05/44949.60/44795/44547.80/44539/44498.60/44459.25/44279.40/44254/44207.25/44151.80/ 43950/43862/43706.15/43600.35/43519.55/43446/43345.95/43078.90/43038.25/42986.45/42582.20/41962

Resistance: 46153.90/46310.10/46369.50/46761/47063/47123/47284/47427/47755/48081/48198/48446/49139. 

 (Bold and underlined figures are most important)

It opened with an up gap and moved up further but could not sustain at the upper level and drifted down but finally ended the day with a gain of 91.40 points. It is exhibiting good strength for the continuation of the up move. It is out of all corrective mode for its earlier gains today, but  if it closes below 45694.49 & 45551.26(figure may change) then it will slip into very short & deep corrective mode again  for its recent rise, which please note. The short term technical setup is looking good, furthermore all the important technical indicators are positive on the daily chart and  pointing that the up move can continue further from here but with intermittent correction, but on the weekly chart few indicators are giving  weak signal and indicate that the up move may extend but may not last longer and eventually head down therefore it is suggested that irrespective of indicators weak signal on the weekly chart please give prime importance to price action because if price action weakens then only the indicators weakness will come into play and if price action remains strong then the weekly indicators can turn positive also in coming weeks, which please note and the price action is good as of now. The long term trend is up.

Moving up from here it may face resistance at 46168---46310.10---46369.50---46761---47063---47123---47284---47427---47755(figure may change) Please note that it may correct at any of these points and may resume the up move again or rally may exhaust for a while. It is important to mention here that if it sustains above its critical point of 45816 on the closing basis then it could retest its all-time high of 46369.50 or may go beyond it also and scale new highs.

Kindly note that moving down from here the  key support points could be 45816----45782.75---45694.49----45511.35---45551.26(figure may change) break below 45816 & 45782.75  could be an alert point and break below 45694.49 & 45551.26 will push it into short and deep corrective mode for its recent rise but as long as it holds 45070(figure will change every day) on the closing basis up move is likely to continue, break below 44750(figure will change every day)  could be concerning and finally break below 44151.80 on the closing basis may dampen the possibility of continuation of the up move and it may slide down and then the next strong support range would be between 43869----43600----43446---43345.

TRADING TIPS:--

1. Long trade can be tried on decline at appropriate points or near or within the range of 45694---45551 and not below it with a stop loss of 45400.or if it maintains above today’s close for some time with a stop loss of 45795. It is important to mention here that long trade below 45511.35 could be a risky bet for the day.

2. It is into the long term uptrend therefore short trade in general could be a risky affair but as it is still into correction mode but pullback move is also on , therefore short trade can be attempted but with extreme caution 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 46400----46500 with a stop loss of 46650or sell if it moves below 45511 with a stop loss of 45700. It could be a risky trade.

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.