CNX-NIFTY
Open-17591.35--High—17599.75--Low-17421.80---Close-17465.80
on 24.2.2023.
Support:17452.90/17421.80/17405.55/17353.40/17342.10/17326.10/17254.20/17166---17161/16950/16888/16836—833---809/16747.70.
Resistance: 17484/17493.55/17652.55/17719.75/17761.40/17774.25/17795.55/17812/17916.80/17959.20/17972.20/17992/18016/18105.30/18114.65/18132/18141/18183.75/18210.15/18265.25/18350.95/18442.15/18473.35/18604.45/16696.10/18887.60.
(Bold and
underlined figures are most important)
It has been falling continuously for the last six days and it ended the
week on 24.2.2023 near the low of the week with a loss of 478.39
points on the closing basis, which is a very weak sign but since it has been falling
strait for the last few days, therefore a short pullback up move can happen any
time but that may not be lasting.
It is into deep corrective mode and still within the range of its long
term moving average which is placed between 17867---17271(figures will change every day, this is very strong support range) for the day,
furthermore it is below its short & medium term moving average on the daily
chart and some are below on the weekly chart also, almost all important
technical indicators have turned negative on the daily chart and you are well
aware that indicators are already weak on the weekly and monthly chart,
lastly and most importantly it is well below its major pullback trigger
point of 17715(the trigger points will be scale down once it breaks its recent
low of 17353.40) which indicates end of the rally. It is below its
downtrend line also. The overall technical setup is very weak. Therefore please
note that if does not bounce back sharply in next 3-4 trading session (chances
of which looks bleak at this point of time) and move above some of its
critical points as mentioned below and sustain then the accelerated fall
looks inevitable in coming days and it could go down to 17100 levels or below also. However, short relief rally can happen
in between the fall. The bias is bearish.
Moving down it will
find support at 17421.80---17405.55---17353.40---17271---17175
(these points could be possible buying points also), 17405---17175 range is the strong support
range, but please note that 17271(lower
band of the long term moving average) & 17175 is the last key support
for the time being and sustained break below it could trigger fresh fall and
finally 16747.70 is the very
critical and most important support point and sustained break below it on the
closing basis may end the long term uptrend for a reasonable length of time and
fall may accelerate, which may be kept in mind, so 17271---17175 & 16747.70 are the key support points.
Similarly moving up
it will find resistance at 17553---17590---17694---17715---17778---17877---17966---17992---18013---18032---18105.30---18132(these
points could be possible sell point also), please note if it moves above 17590( this figure will be scaled down if
it breaks 17421.80 intraday) it may trigger short pullback rally but
reasonable and good pullback rally can only be expected if it moves above 17715(figure can change) and sustain on
the closing basis as of now. Please note that it has to move above 18132 and sustain on the closing basis
to put it back on the strong up track mode, but looking at the just concluded
week’s performance chances of strong upside moves looks pretty bleak during the
week starting from 27.2.2023.
In view of the
above observation the deep down
correction is on therefore it is a sell on the rise market or sell on the price
breakdown in general and for the safe traders it is suggested to avoid long
trade till a visible sign of correction completion emerges. However aggressive
traders can try long trade at important and critical support points for the
pullback gains. But be alert and extremely cautious in the long trade initiated
for pullback gains because it is in deep corrective mode. Please do not trade
without stop loss.
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 favourable 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.
m for
strategic guidance to enter and exit trade.
Thanks
Narendra Kumar Surana
Mobile—8240951127/9831313654.
