CNX-BANK NIFTY
Open—48660--High—48679.65-Low—48088.25---Close—48201.05
on 26.4.2024.
Support: 48166.15/48161.25/47795/47588/47481.35/47363.40/47259.85/47191.65/47010.80/46919.70/46892.35/46886.90/46529.05/46507.15/46426.85/46369.50/46310.10/46181.20/45905.85/45828.80/45661.75/45655.50/
45430.70/44949.90/44633.85/44612/44547.80/44429/43830.75/43796.75/43600.35/43345.95/43230.95/42582.20/42105.40.
Resistance: 48203.45/48219.95/48292.25/48305.40/48381.95/48636.45/48722/48745/48796/48938/49057.80/49328/49603/49688/49716/49781/49911/50038/50244/50494/50740.
(Bold and underlined
figures are most important)
It opened with an up gap but did not go much
higher after that and thereafter started moving down and in the process filled
the day’s gap also and finally ended the day with a loss of 293.90 points. Please
note that after 5 days of rise in a row it corrected today, but the
concerning thing is that it closed below its critical point of 48292.25
& 48203.45 and if it does not bounce back above it in the next 2-3
trading sessions then it may head down further. The volatility is continuing which is not a
good sign for a steady market and eventually it can drag it down in coming
days/weeks & months, so be alert and watchful and ride the rise with
caution.
It is important to mention here that its critical & important points are 48203.45---48292.25
& 48636.45 and to keep the up momentum going on in the year 2024 it must
sustain above these points on the closing basis. It is below all these
points now, which is a weak sign, please note that to get a foothold for the
continuation of the up move it has to move above its two critical points of 48203.45---48292.25
and sustain on the closing basis and to get back on the strong up momentum
track it has to move above 48636.45 and sustain on the closing basis,
else it may start to drift down.
Moving up from here its broad resistance
points could be at 48203.45----48292.25----48295.45-----48472.51-----48561.73------48636.45-----48637.89-----48785-------48938----49057.40----49328----49603----49688---49716(figures
may change) and for in between and other resistance points please
refer the resistance table at the top. Please note that it may correct at
any of these points and then may resume the up move again or may exhaust the up
rally for a while. It is into corrective mode now. Please note that sustained
close above 48203.45---48292.25 will give it required strength for the
continuation of the up move and sustained close above 48636.45 & 48637.89
will put it back on the strong up momentum track and it will get out of all
corrective mode and then in all likelihood it could retest its all-time high of
49057.40 or may go beyond it also.
Similarly moving down further from here the
broad support points could be at 48111—48045----47965.10----47937----47851----47818.23----47525.78---47491----47481.35-----47471.91----47416.73---47279.80---47163.94---47062----47010.80---46886.90----46598----46591-----46529.05---46507.15---46475-----46458---46369.50---46310.40----45828.80---45661.75-----45447---44633.85----44429(Figure may change) and for in between and other support points
please refer the support table at the top. Please note that it may bounce back
from any of these points. It is already into correction mode for its recent
rise, sustained break below the range of
48048----47937---47851 will weaken the on-going up move, but as long as
it holds 47163.94(pullback threshold point) on the closing basis then
the chances of up move will be alive, sustained break below 46598 will
threaten the long term uptrend, sustained break below 46475 will
indicate that it could drag it down to 45828.80 levels , sustained break
below 46369.50 &
46310.40 may trigger fresh fall,
sustained break below 45828.80 will indicate that the correction could
be much deeper and can last longer and finally
break below 45447 may jeopardize the long term uptrend and it
could head for bigger fall and thereafter break below each point will weaken it
further, which may please be noted. Please note
that the most crucial, key and last important support point is 45828.80 and
sustained break below it may accelerate the fall and then the correction could
be deep & painful time and
value-wise both.
It is important to mention here that two out
of five important technical indicators are positive now but three are still
negative on the daily chart, so it may have both side moves in coming days with
slight downward bias. Furthermore one important indicator on the weekly and two
indicators on the monthly chart is also negative pointing that it could head
down in coming weeks/months. It has made lower top on the line chart today
which is a weak sign. But the other parameter such as moving average placement is
good and the price action has also been more or less consistently positive in
the last few days. Therefore if the other parameter continues to improve then
the up move may continue. I once again reiterate that indicators weakness on
the daily, weekly & monthly chart is still a concern, therefore due caution
and alert is important and necessary to ride the rise, because the on-going
rally may end abruptly also and today’s fall was may be just a trailer. Please
note that if it does not move and sustain above the important points of 48203.45---48292.25---48636.45 & 48637.89 in the next 2-3 trading sessions on the
closing basis then down move may continue. It is in the long-term uptrend; but
into short correction mode, the pullback mode is also on therefore both side
trades can be tried depending on price action but one has to be alert and
careful in the long trade at this point of time.
IMPORTANT NOTE: -- FOR
SAFE TRADERS IT IS SUGGESTED TO AVOID LONG TRADE TILL IT CLOSES ABOVE 48293.
TRADING TIPS: --
1. Long trade can be tried on decline near or
within the range of 48050---47950 but not below it with a stop
loss of 47820. Please note that long trade in a corrective mode could be a
risky affair but can be tried near the important support points for pullback
gains but with strict stop loss.
2. It is in
the long term uptrend therefore short trade in general could be a highly risky
affair; but it is into short correction mode, therefore short trade can also be
attempted on reasonable rise or on price breakdown for intraday corrective
gains but with extreme caution and alert. Short trade can be tried on the rise
near or within the range of 48550—48640 with a stop loss of 48800. It
could be a risky trade but worth trying for intraday corrective gains.
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.
Thanks
Narendra Kumar Surana
Email—suranank@gmail.com
Mobile—8240951127/9831313654.
