A TECHNICAL UPDATE ON CNX-BANK NIFTY—11.8.2025

 

CNX-BANK NIFTY

Open—55609.35---High—55652.60--Low—54905.60---Close—55004.90 on 8.8.2025.

 

Support:54905.60/54576.60/54467.35/54442.30/54176.45/53888.30/53483.05/53357.70/52794.95/52782.75/52760.20/52577.50/52493.95/52354.85/51979.75/51749.45/51749.45/51693.50/51138.90/51133.20/51000.90/50947.70/50860.20/50841.90/50641.75/50438.30/50382.10/50369.40/50194.30/49974.75/49904.40/49836.10/49787.10/49688.80/49654.65/49459/49300/49162.65/49057.40/48972.55/48906.05/48839.10/48734.35/48636.45/48525.60/48292.25/48203.45/48161.75/48074.05/47898.35/47844.15/47702.90/47363.40/46983.75/46077.85/45828.80/45661.75/44633.85/44429/43600.25/43345.45/43230.95/42582.20/42105.40. 

Resistance:55149.30/55475.45/55547.35/55475.45//55695/55957.75/56098.70/56161.40/56204.85/56594.25/56623.60/57049.50/57276.55/57312.75/57363.70/57375.80/57566/57628.40/57683/57755/58000/58224/58316/58479/58950.

OVERALL, VIEW: --

It opened on a positive note and thereafter had both side moves during the day and finally, ended the day with a loss of 516.25 points. But it is important to mention here that it still has earlier unfilled gaps (gap points are 54054.80, 51361, 51244 & 50496) , which is still a huge concern, although stipulated time for filling the gap is over long ago, but it will fill the gap one day for sure. So, be cautious. Please note that it is often exhibiting volatility, and it is not a good sign for a steady market.

The technical setup is very weak ,  it is into  short, medium and deep correction mode for its recent rise and also into medium & deep correction mode for its earlier rise, it is  below its multiple short term rising trend-lines, it is making lower top & bottom on the  line & bar chart,  below all its short term moving average on the daily & almost all below weekly chart. also below most of the medium term moving averages on the daily chart, furthermore almost all the important technical indicators are negative on the daily & weekly charts and most importantly  it has broken its major long term rising trend-line which is drawn from the bottom of 16116.25  made on 24.3.2020 and is placed at 55198(this figure will change & inch up every day) for the day, therefore all together it is giving an extremely weak indication and if it does stage a sharp bounce back and move above it and sustain on the closing basis then further fall looks inevitable.

Moving down further its next critical support points or range could be 54905.60---54467.35----54312.12----54147(some figures may change daily), which is yet again an important bounce back points or range and if it holds this range then the chances of resuming the up move will still be faintly alive. But break & sustained close below 54905.60 may trigger fresh fall, break & sustained close below 54467.35 will dampen the chances of up-move in the year 2025 and it may head down with an accelerated pace and finally if it moves below 54147 and sustain on the closing basis then the long term uptrend will be threatened and it may slide down further and then it may find its next strong support at 53483.05 and please note that break & sustained close below it may witness an accelerated fall.

Moving up the broad resistance points could be at 55198----55285.91-----55547.37----55629.14----55897.15-----55961.95----56038.48---56098.70---56204.85----56277------56650.10-----56908.08----56961.95----57043.33---57049.50----57143----57189.04---57213-----57376----57566---57629(some figures may change)(for complete resistance points see the table on the upside) it may correct at any of these points and then may resume the up-move again or may pause the rally for a while. Please note that if it moves above 55198(figure will change every day) and sustain then it will bounce back above its major rising trend-line and may raise hope of moving up further, if it moves above the range of 55547.37--- 55629.14 and sustain on the closing basis, then it will get out of medium term corrective mode for its earlier rise, it will be above its pullback threshold, so the chances of a continued up-move may enhance a bit, if it moves above the range of  55897.15-----55961.95 and sustain then the up-move is most likely to extend further, if it moves above the range of 55965---- 56038.48---56098.70 and sustain then it will raise good hope for extending the up-move, if it moves above the range of 56204.85-----56277 and sustain then it will gain good foothold and may continue the up-move further, if it moves above 56650.10 and sustain then it will get out of deep corrective mode for its recent rise, if it moves above the range of  56908.08----57043.33---57049.50----57084 and sustain on the closing basis then it  may get back  into strong up- momentum track and may retest its all-time high of 57628.40 or may go beyond it also. It is still in a long term uptrend, but into deep correction mode for its recent rise.

IMPORTANT NOTE: - THE KEY POINTS FOR THE MONTH OF AUGUST-2025 ARE 55547.35---55897.15 & 55961.95 IT HAS TO MOVE & REMAIN ABOVE THESE POINTS FOR AN UP-MOVE TO CONTINUE, ELSE IT WILL DRIFT DOWN.

TECHNICAL INDICATORS PLACEMENT ON THE DAILY CHART;-

POSITIVE POINTS:-

1. It is still above its long term moving average and the top average is placed at 54147(figure will change every day).

2. on few technical indicators it is in the oversold zone & ST in the buy mode, so it may give relief rally at times.

3. Volatility method showing a buy signal( not a great reliable indicator).

NEGATIVE POINTS:-

1. below all short term moving average on the daily & weekly chart.

2. below almost all medium term moving average on the daily chart.

3. Almost all technical indicators are negative and MACD, EV, PS, ADX in the sell mode and RSI is with huge negative divergence.

In view of the above there is a high probability that the down move may continue with in between relief rally at times. Furthermore please note that earlier vertical rise, unfilled gaps, negative divergence and in the overbought zone on weekly & monthly chart is still a concern, therefore further fall cannot be ruled out in coming days. Please keep an eye on the critical resistance & support points and price action for further directional indication.

TECHNICAL INDICATORS PLACEMENT ON THE WEEKLY & MONTHLY CHART: -

WEEKLY CHART: - Almost all the indicators have turned negative and MACD,EV,PS ,ST   are in the sell mode and RSI is with huge negative divergence, therefore further fall  looks quite likely in coming weeks .But the  silver lining is that it is in the neutral/oversold zone and ADX is still in the buy mode, so it may have short up-moves at times.

MONTHLY CHART:-Few indicators are in buy mode such as MACD, ST, PS & ADX, but it is in the overbought zone and with huge negative divergence in RSI. Therefore, all together indicators are painting a mixed picture now with tilt towards down-side as of now.

IT IS SELL ON THE RISE  MARKET  NOW;-

It is into deep correction mode now therefore it is sell on the rise market now till it closes above 55550 and sustain on the closing basis. But long trade can also be tried on the decline near critical support points or range with strict stop losses, for intraday gains.

STRENGTH: -

1. It is way above its most crucial bottom of 53483.05, if it sustains above it on the closing basis then the chances of the up-move will be alive.

2. It is above all its long-term moving averages and the top average is placed at 54147(figure will change every day), close below this point would be a threat to the long term uptrend.

3 It is way above its most critical point of 54467.35, please note that it is essential to stay above this point to keep the up-momentum going in the year-2025, else it may drift down.

WEAKNESS: -

1. Volatility and wild swing can be seen in the market quite often, which is not a good sign for a steady market condition and it can eventually drag it down may be drastically in the coming days/weeks and months. So be watchful.

2. It is into short, medium & deep correction mode for its recent rise and into medium  & deep correction mode for its earlier rise as it closed below  its threshold point of 57189.04---57043.33---56908.08-----56650.10---55629.14-----55285.91   (figure may change), sustained close below these points can drag it down much lower.

3. It is below all its short-term moving averages now on the daily chart and the important average range for day is between 56277---56042--55950---55696---55687---55513(figure will change every day), sustained close below this range may continue with the down-move.

4. It is making lower top & bottom on the line & bar chart.

5. The price action was mixed today.

6. It is below its recent pullback threshold point of 55549(figure may change), if it sustain below it chances of up move may dampen.

7. It is below its most crucial bottom of 55149.30 and sustained close below it can drag it down further for sure.

TRADING CALL: -- 

1. Long trade can be tried on decline near 54905 if it holds this point for some time but not below it with a stop loss of 54800 for a possible intraday gain, else avoid. Please note that long trade in a corrective market could be a risky affair, but can be tried near critical support points for intraday gains.

2. Short trade can be tried on the rise near or within the range of 55350—55450 with a stop loss of 55550 or can sell if it moves below54905 and maintain for some time with a stop loss of 55210.  It could be a risky trade but can be tried 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.