A TECHNICAL UPDATE ON CNX-NIFTY-19.8.2025

 

CNX-NIFTY

Open—24938.20—High—25022---Low---24852.85---Close---24876.95 on 18.8.2025

Support:24857.75/24854.80/24792.30/24753.15/24733.40/24694.35/24598.60/24589.15/24537.60/24502.1524498.20/24494.45/24473/24462.40/24354.55/24226.70/24198.75/24141.80/24099.70/24094.20/24073.90/23938.85/23935.75/23893.70/23873.35/23869.65/23847.45/23816.15/23807.30/23667.20/23664/23644.80/23637.65/23484.15/23537/23426.30/23391.65/23338.70/23263.15/23110.80/23049.95/23047.25/22976.85/22794.70/22786.90/22775.70/22768.40/22676.75/22625.30/22577.40/22546/22525.65/22502/22314.70/22303.80/22281/22165/22124.70/22104.85/21964.60/21875.25/21860.65/21821.05/21777.65/21710.20/21530.20/21448.65/21281.45/21137.20/21021.88/20976.80/20769.50/20291.50/20222.45/19991.85/19839/19333.60.

Resistance:24882.30/24892.60/24918.65/25001.95/25079.20/25116.25/25136.20/25222.40/25234.05/25246.25/24255.30/25285.55/25333.65/25371/25517.05/25548.70/25551.35/25669.35/25871.35/26277.35/26328/26995/27095/27212/27293/27381.

OVERALL VIEW ON THE DAILY CHART: --

It opened with a huge up-gap and thereafter had both side moves during the day and finally, ended the day flat with a good gain of 245.65 points. The gap it created today is still there and if it makes an effort to fill the gap in the next 4-5 trading sessions, which is technically possible then it could come down to 24673, but if it fails to fill the gap in the stipulated time then chances of filling the gap will recede for the time being, but please note that it will fill the gap one day for sure.  It is also important to mention here that it that it still has earlier unfilled gaps (gap points on downside are 24164, 22923, 22468 & 22254 on the upside 25019--25340.45) also on the downside/upside, 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, this is not a good sign for a steady market.

The technical setup has improved a bit, but  it is still into short & medium term correction mode for its recent rise, it is below its below few of its medium term moving averages on the daily chart , but the positive thing is that it bounced back above its short term moving averages on the daily & weekly chart, it is also above its pullback threshold point, furthermore few important technical indicators have turned positive and most importantly it is decisively above its key points or range of 24742.88 ----24753.15----24768.35 and if it holds this range  on the closing basis then the up-move is likely to extend for sure may be with corrective down move at times. But break below this range will be an alert sign for moving down further and then it’s important support points  or range could be at 24598.60---24494----24462----24412(this figure will change daily), break & sustained close below 24598.60 may trigger fresh fall and break & sustained close below the range of 24494----24462----24404  may weaken it further and will threaten the long term uptrend and then it will get support at its long term major rising trend-line which is drawn from the bottom of 7511.10 made on 24.3.2020 and is placed at 24323(this figure will change & inch up every day) for the day,  break & sustained close below it may witness an accelerated down-move.

Moving down further it will find its most important & critical support in the range of 23926----23893.70----23869.65—23807.30(some figure may change) , it is a very strong bounce back support 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 this range may trigger fresh fall and the long term uptrend will be in potential danger and may also end the hope of a continued up-move and then comes its most critical  support point of 23644.80 & 23637.65, please note that to keep the hope alive for a good  up-move in the year 2025 it has to stay above these points on the closing basis, else  fall may continue. The long term uptrend is still intact but it is already into short, medium & deep correction mode now for its recent rise.

Moving up the key resistance points could be at -25239.36—25260.22----25371----25387.01----25405----25448.47---25496.48—25517---25552----25670----25761----25778---25863---25996----26277.35(some figures may change daily) It can correct at any of these points and then may resume the up-move again or rally may fizzle out for a while also. Please note that if it moves above the range of 25239.36—25260.22----25371----25405----25496.48 and sustain on the closing basis then it will get out of all corrective mode and may resume the up-move again, here please note that sustained close above 25371 will raise good hope for extending the up-move further and there would be a distinct possibility that it could retest its all-time high of 26277.35 or may go beyond it also. It is in the long term uptrend, but into short, medium and deep correction mode now for its recent rise.

IMPORTANT NOTE: - THE KEY POINTS FOR THE MONTH OF AUGUST-2025 ARE 24598.60---24753.15 &24768.35 AND IT IS ABOVE ALL OF IT NOW , THEREFORE AS LONG AS IT HOLDS THESE POINTS ON THE CLOSING BASIS THE UP-MOVE IS LIKELY TO CONTINUE WITH IN BETWEEN SHORT DOWN MOVE.

TECHNICAL INDICATORS PLACEMENT ON THE DAILY CHART;-

POSITIVE POINTS:-

1. Almost all the important technical indicators it is in the oversold zone and RSI is showing positive divergence and MACD,PS, EV & ST is in buy mode, so it may give strong relief rally at times.

2. Volatility method showing a buy signal.

3. above all its long term moving averages and first average is placed at 24412(figure will change daily)

4. It is above its short term moving averages on the daily & weekly chart.

NEGATIVE POINTS:-

1. below few medium terms moving average on the daily chart.

3. Only one important technical indicators ADX is in the sell mode.

In view of the above there is a 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 looks inevitable 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 are negative and MACD,EV,PS & ADX   are in the sell mode and RSI is with huge negative divergence, therefore further fall  looks  inevitable in  coming weeks .But the  only silver lining  in the dark cloud is that it is in the oversold zone, so it may have short up-moves at times.

MONTHLY CHART:-Few indicators are in buy mode such as ST, PS & ADX, but key indicator such as MACD is in the sell mode, it is in the overbought zone and with huge negative divergence in RSI. Therefore, all together indicators are painting a mixed picture now with strong tilt towards down-side as of now; therefore further fall in the coming months cannot be ruled out.

IT IS BUY ON DECLINE  MARKET  NOW;-

It is still into correction mode but above its key support range of  24742.88 ----24753.15----24768.35  therefore as long as it holds this range on the closing basis it is  buy on decline market  now. But short trade can also be tried after reasonable rise and near critical resistance points or range with strict stop losses, for intraday corrective gains.

STRENGTH:-

1. It is above its major long term rising trend line which is placed at 24309 & 22712 for the month of August-2025, these are the very strong support point.

2. It is above its most critical points of 23637.65 & 23644.80, please note that it must stay above these points to keep up the up momentum going in the year 2025, else it will start to drift down.

3. It is above its most critical first & second make or break bottom of 24753.15 & 23893.70 sustained close above it will keep the hope alive of resuming the up-move again.

4. The price action was positive today.

5. It is making higher top & bottom on the line & bar chart.

6. It came out of deep corrective mode as it is above its threshold point of 24742.88(figure may change).

7. It is above all of its short-term moving averages now on the daily chart and the important average range for day is between 24753----24668----24666----24623---24610(figure will change every day), sustained close above this range may help it extend the up-move.

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 term correction mode for its recent rise as it closed below its threshold point of 25496.48---25448.47---25387.01---25260.22----25239.36--- (figure may change), sustained close below these points may drag it down further.

3. It is way below its most critical point of 25371 and if it sustains below it on the closing basis then it will dampen the chances of retesting its all-time high of 26277.35.

TRADING CALL: --

1. Long trade can be tried on decline near or within the range of 24835-- 24770 if it holds this range for some time, but not below it with a stop loss of 24670 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 25025---25050 with a stop loss of 25120. 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

Mobile—8240951127/9831313654.

Email--- suranank@gmail.com