CNX-Bank Index-Technical View-20-8-14

CNX-Bank Index closed at 15524.65on 19-8-2014

SUPPORT: - 15499.70 / 15267.60 / 15144.75 / 15137.60 / 15089 / 14933  / 14858.90 / 14857.50/ 14709.30 / 14709.10 / 14338.65 / 

RESISTANCE: -  / 15568.05 / 15592.80 / 15626.90 / 15725.80 / 15742.05/ 15930 / 16308 /.

  (Figures in bold are important)

Index opened on a positive note and made a low of 15469.85 and high of 15624.35 before closing the day at 15524.65.As of now the bias is on the up side but I would suggest to take fresh long call only if it crosses 15627 and stays, therefore those who are having long position taken at lower level are advised to book part profit here. Please get alerted in long trade below 15217 and get out of the long position if it closes below 15092.It is needless to mention here that the index has been grossly under-performing off late in comparison with nifty whereas nifty is making new high’s but it is yet to surpass the previous high of 15742.05 it made on 16-5-2014..Be circumspect in long trade.

REMARK:- Long term trend is still up but take fresh long calls only above 15627.Book part profit on already initiated long calls.

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 is of spot market

Contact me for strategic guidance to enter and exit the trade

Nifty-Technical View-20-8-14

NIFTY CLOSED AT 7897.50 ON 19-8-14

 SUPPORT: - 7870 / 7840.95 / 7808.85 / 7799.90 / 7796.70 / 7731.05 / 7721.30 / 7700.05 / 7662.50 / 7598.60 / 7593.90 / 7563.50 / 7540.10

 RESISTANCE:-7935 / 7995 / 8060 / 8130.

  (Figures in bold are important)

Nifty opened gap up today and made a low of 7881.15 and a new all time high of 7918.55 and closed the day at new closing high of 7897.50.It is showing great strength and it is continuously moving up for the last six trading session and has risen by 378 points on intra -day basis. As of now the bias is on the up side and it is buy on dip market but be alert in long trade if it starts trading below 7800 and get out of the long trade if it closes below 7710 and stays. Since it has moved up vertically in last six days therefore a small down correction for a day or two cannot be ruled out and that correction should be utilized for buying off course keeping the above alert point and stop loss in mind, going up it will find good resistance at 7940 &7995.  

REMARK:- Long term trend is still up, I suggest to buy on dip at appropriate level and with an adequate stop loss.

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 is of spot market

Contact me for strategic guidance to enter and exit the trade

Trading Calls For ---18-8-14

CNX-Bank Index-Technical View For The week Starting From-18-8-14

CNX-Bank Index closed at 15089.65on 14-8-2014

Range for the week ended 14-8-14 was :-15144.75---14807.

SUPPORT: - 15089 / 14933  / 14858.90 / 14857.50/ 14709.30 / 14709.10 / 14338.65 / 14063.60 / 13414.30. 

RESISTANCE: -  15137.60 / 15144.75 / 15267.60 / 15499.70 / 15568.05 / 15592.80 / 15626.90 / 15725.80 / 15742.05/ 15930 / 16308 /.

  (Figures in bold are important)

Index opened on a positive note for the week under review and gradually moved up but before that  made a low of 14807 and then high of 15144.75 for the week but could not cross the previous week’s high of 15343.50 and closed at 15089.65 for the week. Index has been grossly under -performing for quite some time now, although index moved up during the week but it is still not showing sign of strength, therefore I suggest to avoid long trade.

TECHNICAL VIEW

1.      ON DAILY CHART:-There is no significant improvement in the chart and it is still below the upper band of the short term DMA range and the range is between 15203---14991(it changes every day) for 18-8-14. Therefore avoid long call till it crosses the DMA upper band range and stays above that for 3-4 days

2.      ON WEEKLY CHART:-  It is still showing  weakness on the weekly chart but it closed the week just above the upper band of the short term DMA range and the range is between 15079---14337 (for the next week) starting from 18-8-14 ,therefore I suggest to avoid long call below 15079 for sure for the coming week.

The strong negative divergence are still there and if it comes into play then it could take index down to 14447.20,12842 & 12551   levels but as I always say that divergence should be viewed in sync with the moving average placements and since it is still below the upper band of the short term DMA on the daily chart and just above the upper band of the DMA on the weekly chart therefore chances of divergence coming into play looks 50-50 at this point in time. The divergence could only be negated if it bounces back above the upper band of the short term DMA range on the daily chart first. The negative divergence and index below the upper band of the short term DMA suggest caution in the long trade. Technically it is still a sell on the rise market below 15355.

REMARK:- Long term trend is still up but avoid long calls completely till it moves above the upper band of the short term DMA range and stays for 3-4-days.

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 is of spot market

Contact me for strategic guidance to enter and exit the trade

Nifty-Technical View For The Week Starting From-18-8-14

NIFTY CLOSED AT 7791.70 ON 14-8-14

Range for the week ended on 14-8-14:- 7796.70--- 7598.60

 SUPPORT: -  / 7731.05 / 7721.30 / 7700.05 / 7662.50 / 7598.60 / 7593.90 / 7563.50 / 7540.10 / 7487.50 / 7481.30 / 7447.20/ 7441.60 / 7422.15 / 7206.70 / 7118.45.

 RESISTANCE:-7796.70 / 7799/90 / 7808.85 / 7840.95 / 7870 / 8060 / 8130.

  (Figures in bold are important)

Nifty opened gap up for the week under review and stood firm throughout the week and had a rise of 228 points, it made a low of 7598.60 and high of 7796.70 for the week and  before closing the week near the high point at 7791.70.The entire week’s movement shows strength in it but I would like to add here that this whole up move lacked volumes, therefore it is  buy on dip now but take long calls with some caution and off course with an adequate stop loss. One should avoid short call now and only think of it if nifty closes below 7760.

TECHNICAL VIEW

1.      ON DAILY CHART:-It looks ok on the daily chart but the on -going up move lacked volumes so be circumspect in long trade, however it has decisively moved above the upper band of short term DMA range and stayed there for 3 days already, the range of short term DMA is between 7712—7680(it changes every day)for 18-8-14, therefore as of now it is buy on dip but be alert in long call  if it starts trading below 7760 and get out of the long trade if closes below 7680. Going up it will face tough resistance at 7808.85,7840.95 & 7870

2.      ON WEEKLY CHART:-  It is ok on the chart . Furthermore it is also above  the upper band of the short term DMA range which is between 7650—7308(for the next week) starting from-18-8-14

The strong negative divergence are still there and if it comes into play then it could take nifty down to 7459.60,7229 & 6694.80 levels but as I always say that divergence should be viewed in sync with the moving average placements and since nifty is decisively above the upper band of the short term DMA on the daily chart as well as on the weekly chart, therefore negative divergence will take a back seat as of now till it breaks the short term DMA range lower band again. 

REMARK:- Long term trend is still up, and it seems that the last week’s correction may be over, so as of now it is buy on dip market but since last week’s up  move lacked volumes therefore one should be cautious in long trade and get alerted if it trades below 7760 and get out of the long trade if it closes below 7680.

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 is of spot market

Contact me for strategic guidance to enter and exit the trade

Trading Calls For-14-8-14