Nifty-Technical Overview(19-6-14)

Nifty closed at 7558.20 on 18-6-2014

SUPPORT:- 7533.55 / 7487.55 / 7477/ 7409 / 7340 / 7263 / 7229/7200

RESISTANCE: 7563.50/  7631.70/ 7656.40/ 7678.50 / 7700

Nifty opened on flattish to positive note and made a high of 7663 for the day but  did not sustained above the  short term DMA of 7595 and went down sharply and hit a low for the day at 7515.50 before closing down at 7558.20.this move signifies that correction is still on.

Nifty’s today’s close  was disturbing and given an indication that the correction may last little longer and may be deeper also.

Technical View:-Nifty is making lower top and bottom on the line chart and technical parameters are showing negative divergence on the daily chart and if it comes into play then it can drag down the nifty to 7220 level in days to come, but I always say that divergence should be viewed in sync with moving average placements and not in isolation. Since nifty is below short term DMA therefore I am apprehensive that the negative divergence could play spoil sport .

The divergence could only be negated if nifty goes above short term DMA which is placed at 7595 for 19-6-14 and stays and close reasonably above 7631.70,or if it could close above today’s close of  7558.20 on 19-6-14 and then crosses 7631.70 the next day and close above this, on the other hand if nifty breaks 7533.55 level and closes below this and finally goes below 7487.55 then the negative divergence will come into play. 

REMARK:- Avoid long calls till the clarity on  down correction completion is visible because chances of negative divergence coming into play looks possible.Therefore aggressive trader can try short call below 7533.55 with a stop loss of 7570 for a target of 7477 or below

   NOTE:-
1.PRICE STATED HERE IS OF SPOT MARKET.
 2.RECOMMENDATIONS ARE VALID TILL THE STOP LOSS IS TRIGGERED.

   3.IN FAVORABLE TRADE TRAIL YOUR STOP-LOSSES FOR MAXIMUM GAIN AND CAPITAL PROTECTION. 

 Contact me for strategic guidance to enter and exit the trade

CNX-Bank Index-Technical View For-18-6-14

CNX - Bank Index closed at 15373.20 on 17-6-2014

 I expected the index to complete down correction in the 2nd half on 17-6-14 or latest by18-6-14  (see my post dated 13-6-14) and today,s move indicate that the correction may be over,if it is so then it should not go  below the short term  DMA which is placed at 15357.94,15322.73&15274.77, for 18-6-14 and close below this, if it does then  the other major supports exist at 14858.90(Recent bottom made on 16-6-14) and bottom of 14709.30 made on 30.5.14. Kindly note that now any close below 14858.90 will trigger fresh  and deep correction in the index ,therefore the base level support for index is at 14858.90 for now and finally at 14709.30.

 

REMARK:- It seems that correction may be over but watch out for close above 15464.85 for further confirmation that correction is over .

   NOTE:-

1.PRICE STATED HERE IS OF SPOT MARKET.

        2.RECOMMENDATIONS ARE VALID TILL THE STOP LOSS IS TRIGGERED.

        3.IN FAVORABLE TRADE TRAIL YOUR STOP-LOSSES FOR MAXIMUM GAIN AND CAPITAL PROTECTION. 

 Contact me for strategic guidance to enter and exit the trade

Nifty-Technical View For-18-6-14

Nifty closed at 7631.70 on 17-6-2014

 I expected the nifty to complete down correction by 18-6-14 and in the range of 7380-7450 , it made a low of 7487.55 on 16-6-14 (see my post dated 13-6-14) and today,s move indicate that the correction may be over,if it is so then it should not go close below the short term  DMA which is placed at 7595 &7575, for 18-6-14, if it does then  the other major supports exist at 7563.50 (For the month of June-14) and 7487.55(Recent bottom made on 16-6-14). Kindly note that now any close below 7487.55 will trigger fresh  and deep correction in the nifty ,chances of which are looking weak now,therefore the base level support for nifty is at 7487.55 for now.

 

REMARK:- It seems that correction may be over but watch out for close above 7656.40 for further confirmation .

   NOTE:-

1.PRICE STATED HERE IS OF SPOT MARKET.

        2.RECOMMENDATIONS ARE VALID TILL THE STOP LOSS IS TRIGGERED.

        3.IN FAVORABLE TRADE TRAIL YOUR STOP-LOSSES FOR MAXIMUM GAIN AND CAPITAL PROTECTION. 

 Contact me for strategic guidance to enter and exit the trade

Trading Calls For-18-6-14

Trading Calls For-17-6-14

Trading Calls For-16-6-14

CNX Bank Index-Technical Overview For The Week Starting From-16-6-14.

                       CNX BANK INDEX CLOSED AT 15106.90 ON 13-6-14

Range for the week ended on 13-6-14 was:-15725.80—15083.90

 Range for the month of May-14 ended on30-5-14 was:- 15742.05 -12773.05

SUPPORT:- 15083.90 / 14857.50 / 14786 / 14709.30 / 14468.10 / 14301.30 /  14063.60 .

RESISTANCE :- 15382  / 15599.75 / 15725.80 / 15742.05 / 15950 / 16410 / 16555 / 16802 / 17470 .

(Figures in bold are important)

Index went down sharply on 13-6-14 and closed the week near the lowest point of the range and in the process it has broken short term DMA and also made lower top and bottom on the closing chart, which indicates that down correction has set in and it may last for 2-3 days. The negative divergence in daily chart suggest that it could break 14793 level in this correction, going down it will find good support at 14786 / 14709 / 14468.10 / 14301.30. I expect the index to complete down correction in the range of   14460—14700 either in the second half on17-6-14 or latest by 18-6-14,to give immediate sign of regaining  momentum it has to  cross the short term DMA which is placed at 15385 for 16-6-14 and stays above that.

Kindly note that make your cost your stop loss in favorable trade and then trail it as the price moves up/down to gain maximum profit and avoid losses.

REMARKS:-Long term trend is up but since the index is in correction mode avoid long trade as of  now ,however one can try long calls near the good support area mentioned above with adequate stop loss.Volatility could be there so trade cautiously and DO NOT TRADE WITHOUT STOP LOSS.

 NOTE:-
1.PRICE STATED HERE IS OF SPOT MARKET.
 2. RECOMMENDATIONS ARE VALID TILL THE STOP LOSS IS TRIGGERED.
 3. IN FAVORABLE TRADE TRAIL YOUR STOP-LOSSES FOR MAXIMUM GAIN AND
    CAPITAL  PROTECTION .                       

 Contact me for strategic guidance to enter and exit the trade

Nifty-Tecnical Overview For The Week Starting From 16-6-2014

NIFTY CLOSED AT 7542.10 ON 13-6-14

Range for the week ended on 13-6-14 was:-7700.05 -7525.35

Range for the month of May-14 ended on was:-7563.50—6638.55

SUPPORT:-7525.35 / 7497.65/ 7484 / 7477 / 7409 / 7360.50 / 7340 / 7263 /  7206.70 /
7193.55 / 7118.45

RESISTANCE:- 7563.50 / 7678.50 / 7700.05 / 7855 / 7988 / 8011 /  8052 / 8195 / 8310

Nifty’s sharp down move today made most of us to think, is the Bull Run over ?. Off course not we are still in up trend but correction has set in and in strong bull market correction happens like this only and it may take few days to complete it or may also end it abruptly in 2-3 days time. so the trend is intact as of now.

Nifty made new all time high of 7700.05 on 11.6.2014 and went down sharply by 107.80 points on 13-6-14 and closed the week near the lowest point of the range and in the process it also broke short term DMA and important support of 7563.50 for the month which indicates that the down correction has set in and it will also make an effort to fill the gap it left behind in the range of 7484-7497.65 during this correction process, going down it will find good support at 7477 / 7400 / 7340 / 7263.

I expect the index to complete down correction in the range of 7380-7450 latest by 18-6-14 but if it goes below 7340 and stays then it can drag down the nifty to 7100 mark chances of which are looking slim as of now. On the other hand if it moves above 7563.50 and its short term DMA placed at 7585 for 16-6-14 and stays then it can be assumed that correction may be over.

Kindly note that make your cost your stop loss in favorable trade and then trail it as the price  moves  up/down to gain maximum profit and avoid losses.

                               

REMARKS:-Long term up trend intact but avoid long trade till it completes down correction One can try long trade near 7380-7400 with a stop loss of below 7340 or above 7585 with a stop loss of 7550.DO NOT TRADE WITHOUT STOP LOSS

 NOTE:-

1. PRICE STATED HERE IS OF SPOT MARKET.

          2. RECOMMENDATIONS ARE VALID TILL THE STOP LOSS IS TRIGGERED.

          3. IN FAVORABLE TRADE TRAIL YOUR STOP-LOSSES FOR MAXIMUM GAIN AND CAPITAL PROTECTION. 

 Contact me for strategic guidance to enter and exit the trade