CNX-NIFTY
Open-22385.70-High—22521.10—Low—22346.50--Close-22434.65
on 3.4.2024.
Support: 22297.50/22234.35/22180.70/22126.80/22124.15/21905.65/ 21883.30/21875.25/21860.65/21834.35/21801.45/21763.95/21750.25/ 21731.40/21727.75/21710.20/ 21593/21530.20/21500.35/ 21448.65/21285.55/21137.20/20976.80/20769.50/20507.75/20291.53/20222.45/19991.85/19875.25/19849.75/19635.30/19333.60/19329.10/19223.65/18973.30/18887.60/18837.85.
Resistance: 22440.90/22452.55/22516/22525.65/22526.60/22529.95/22623/22750/22787/22800/22838/22870/22935/23072/23117/23139/23344.
(Bold
and underlined figures are most important)
It opened on a flat to negative
note and had both side moves during the day and finally ended the day with a
loss of 18.65 points. Please note that it made multiple top in the range of 22516---22529.95
in the last few days, but could not sustain, which is concerning, therefore, to
continue the up move now it must move above 22526.60 and sustain on the
closing basis and that too in a shortest possible time, else it may head down. 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, however as
long as price action supports it may continue to show upside from time to time
but fear of moving down will always be there because of the volatility and weak
technical indicators on the weekly & monthly chart, which please keep in
mind. It is important to mention
here that the gap filling threat for earlier gap on the daily & weekly
chart has faded out but please note that eventually it will fill the gap
someday(weekly gap of 20291.55 is yet to be filled), which please note.
It has been giving whip saw around its Inverse Head & shoulder pattern (bullish pattern) neckline which is
placed at 22126.80 for the last few days, but now it is well above and if it
manages to hold this mark on the closing basis then the up move may continue,
else it may head down.
Moving up from here the important resistance points could be at 22452.55---- 22526.60---22529.95----22623----22750----22787----22800---22838----22870---22935---23072---23117---23139---23344,
it may correct at any of these points and may resume the up move again or may
exhaust the up move for a while and move sideways.
Similarly moving down from here the broad important
support points could be at 22369.44---22363.52---22336.61----22334---22215---22209---22194----22126.80---22118.40---22105---22022---21902.87---21871.36----21860---21801.45----21731.40----21727.75-----21710.20---21593---21500.35----21448.65---21285.55----21158----21137.20(figures
may change), and for in between and other resistance points
please refer the resistance table at the top, it may bounce back from any of
these points and may resume the up move again. Please note that if it holds the
range of 22369.44---22363.52 on the closing basis the up move can
continue, break below 22336.61 will push it into short correction mode for
its very recent rise, sustained break below the range of 22209---22194---22126.80 may trigger fresh fall, however
as long as it holds 21902.87 on the closing basis chances of continuation of
the up move will be alive, break below the range of 21801.45—21731.40----21727.75---21710.20
may jeopardize the up momentum for the year 2024 and then break below
each point will weaken it further and finally sustained break below 21158
& 21137.20 may accelerate the fall and will threaten the long
term uptrend also..
It is important to mention here all the five
important technical indicators are positive now on the daily chart, which is a
positive sign and indicate further upside may be ahead. But four important
indicators on the weekly and one indicator on the monthly chart is negative
pointing that it could head down in coming weeks/months. Therefore, all
together volatility-wise & weekly & monthly indicator-wise it is still
on a weak footing, which is concerning. However, on the other parameters such
as moving average placement is good, making higher top & bottom and price
action has also improved and more or less has been positive consistently,
therefore if the other parameters remain good the up move may continue. But I
once again repeat that the weekly & monthly indicators speak otherwise at
this point of time, so ride the on-going rise with caution and alert. It is in
the long-term uptrend; therefore it is buying on decline market now.
TRADING TIPS: --
1. Long trade can be tried on decline near or within
the range of 22390----22360 with a stop loss of 22300 or can buy if it moves above 22477 and
maintain for some time with a stop-loss of 22425.
2. It is in the long term uptrend therefore short
trade in general could be a highly risky affair; but even then short trade can
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 22570--- 22610 with a stop loss of 22640.
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
Mobile—8240951127/9831313654.
Email--- suranank@gmail.com
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