AN ELABORATE TECHNICAL UPDATE ON CNX-BANK NIFTY FOR—5.12.2025

 

CNX-BANK NIFTY

Open—59287.10---High—59548.70--Low—59062.15---Close—59288.70 on 4.12.2025. 

Support:59182/59120/58688.55/58577.50/58469.90/58380.50/57628.40/57594.25/57482.05/57363.70/57157.85/57049.50/56623.60/56594.25/56204.85/56098.70/55821/55695/55547.35/55475.45/55149.30/54905.60/54576.60/54467.35/54226.60/54176.45/53888.30/53561,75/53483.05/53357.70/52794.95/52782.75/52760.20/52577.50/52493.95/52354.85/51979.75/51749.45/51749.45/51693.50/51138.90/51133.20/51000.90/50947.70/50860.20/50841.90/50641.75/50438.30/50382.10/50369.40/50194.30/49974.75/49904.40/49836.10/49787.10/49688.80/49654.65/49459/49300/49162.65/49057.40/48972.55/48906.05/48839.10/48734.35/48636.45/48525.60/48292.25/48203.45/48161.75/48074.05/47898.35/47844.15/47702.90/47363.40/46983.75/46077.85/45828.80/45661.75/44633.85/44429/43600.25/43345.45/43230.95/42582.20/42105.40. 

Resistance:59350/59455/59897.50/59918/59932/59969/59998/60033/60114.30/60169/60231/60354/60678/60719/60875/61041/61342/.

OVERALL, VIEW: --

It opened on a negative note and thereafter had both side moves during the day and finally, ended the day with a loss of 59.55. It is also important to mention here that it still has earlier unfilled gaps (gap points are 56922.70,55616.45,51361, 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.

It is into correction mode, also below its key points for the month of December-2025(mentioned below in the important note) which are important to keep the up momentum on, below few short term moving averages after a long time and above all the volatility is very concerning, so all together it is exhibiting weak sign. But the technical setup still looks good for the continuation of the up-move; so watch out how it pans-out in the next 1-2 days. However please note that moving down its key support points are at 59206.21---59206-----59101.08-----58934------58724.80----58567.90---57157.85(figures may change) and as long as  it holds these points on the closing basis then the chances of the up-move  may be alive, it is already into correction mode and weakening,  break and sustained close below  the range of 59206.21---59206-----59101.08-----58934 may trigger fresh fall, break & sustained close below  58724.80----58567.90 will push it into deep correction mode and can drag it down further and finally break & sustained close below 57157.85 may witness an accelerated fall and if it sustains below it the correction could be painful time-wise and price-wise both, which may please be noted.

Moving up the target or resistance points could be at 59416.58----59627.13---59752.70----59768.61---59897.50---60102.05---60169---60231---60354--60678 (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 halt the up-move for a while. Please note that to get out of corrective mode and to keep the up-momentum going in the month of December-2025 it has to move above these points 59416.58----59627.13---59752.70----59768.61---59897.50---60102.05 and sustain on the closing basis, else it may drift down.  It is in the strong long-term uptrend, but now into correction mode for its recent rise.

IMPORTANT NOTE: - THE IMPORTANT POINTS FOR THE MONTH OF DECEMBER-2025 ARE 59752.70----59897.50 & 60102.05 AND TO KEEP THE UP MOMENTUM GOING IN THIS MONTH IT HAS TO SUSTAIN ABOVE THESE POINTS ON THE CLOSING BASIS, ELSE IT MAY START TO DRIFT DOWN

TECHNICAL INDICATORS AND MOVING AVERAGE PLACEMENT;-

POSITIVE POINTS:-

1. Only one important technical indicator ADX is in the buy mode, so it may not witness a lasting up-move.

2. It is above 4 out of 6 of its short-term moving averages on the daily and above all on the weekly & monthly chart.

3. It is above all its medium-term moving average on the daily, weekly & monthly chart.

4. It is above all its long terms moving average on the daily chart and the top average is placed at 56546(figure will change daily) for the day.

NEGATIVE POINTS:-

1.  Major important indicators such as EV, MACD, PS, VM &ST are in the sell mode and it is in the overbought zone and RSI is with negative divergence, so down move may happen at times and can extend also.

2. It is below 2 out of 6 of its short term moving averages on the daily chart, after a long time.

In view of the above observation there is a mixed possibility and it can swing both ways but with a downward-bias as of now. Furthermore please also note that earlier vertical rise, unfilled gaps, negative divergence and in the overbought zone on weekly & monthly chart is still a concern, therefore fall also cannot be ruled out in coming weeks & months. 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 important indicators are positive MACD, EV, PS, ST & ADX are in the buy mode, so the up-move may extend,   but RSI is showing negative divergence, and VM is in the sell mode and it is in the overbought zone in certain indicators, therefore fall also looks quite likely in coming weeks. But the tilt is slightly on the upside as of now.

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

IT IS BUY ON DECLINE  MARKET  NOW;-

It is buy on decline market till it holds the range 59206.21---59206-----59101.08-----58934 on the closing basis.  But short trade can also be tried on the reasonable or sharp rise near critical resistance points or range or on the price breakdown with strict stop losses, for intraday corrective gains. Please note that today it slipped into the correction mode but it is not alarming now; therefore be alert & cautious in the long trade at this point of time.

STRENGTH: -

1. It is above its most crucial 1^st & 2nd bottom of 57157.85 & 54226.60, if it sustains above, it on the closing basis then the chances of the up-move will be alive.

2. It is above few of its correction threshold points of 59101.08------58724.80-----58567.90 (figure may change), sustained close above these points may keep the hope alive for moving up further.

3. It is above all (except for two) of its short-term moving averages now on the daily chart and the important average range for day is between 59406---59314--59284---59206---58937---58934(figure will change every day), sustained close above this range can help to extend the up-move.

4. It is above its major long-term rising trend line which is placed at 57258 for the month of December-2025, it is a good sign.

5. Its major long term rising trend line drawn from the bottom of 16116 made in 2020 is placed at 57512 (figure may change daily) for the day.

6.  Its short-term rising trend line is placed at 59406 (figure will change daily) for the day, if it sustains above it then chances of up-move will be alive. But break below this can drag it down.

7. The price action was positive today.

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 correction mode as it below its few threshold point of 59768.61----59627.13---59416.58(figure may change), sustained close below it can pull it down further.

3. Top to top rising trend line placed at 59523 (figure may change) for the day, sustained close below it is a weak sign for the up-move.

4. It made lower top on the line chart but yet to make lower bottom, so watch out.

TRADING CALL: -- 

1.

For aggressive traders long trade can be tried if it holds 59273.80 point for some time then, with a stop loss of 59050 for intraday gain, else avoid. For safe traders it is suggested that they should try long trade only once it closes above 59897.50 and sustain, 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 59650---59750 with a stop loss of 59850 or can sell if it moves below 59270 and maintain for some time then with a stop loss of 59500.  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.