CNX--BANK NIFTY-A TECHNICAL VIEW FOR—11-7-2016

CNX--BANK NIFTY

Closed at 18016.25 on 8-7-2016(Open-18078.05/High-18079.20/Low-17910.90)

Support:17943.50/17907.50/17670/17636/ 17527/17518/17425/17350/17174.70/17067.45/17029.85/16962/16932.50/16922.05/16587.25/16431.65/16368/16282.75/16188/16186.25/16141.65/16099.65/16011/15762.20/15682.65/15522/15440.25/15005/14767/14761/14754/14445/13810.60/13407.25.

Resistance:18029.05/ 18051.50/18074.95/18146.55/18227/18312/18580.65/18750/19111.

After giving robust up move previous week, it moved in a short range during the week ended on 8-7-2016, therefore it seems that it may be bracing for a big move on the either side in coming 2-3 days time. The overall technical setup is good but it is giving few weak indications which may drag it down to lower levels. It has failed to give sustained close above its critical point of 18045, made lower top on the line chart and made double top at 18146.55 on the bar chart, therefore sustained close above 18045 and then crossing the double top of 18146.55 is very important for this on-going up momentum to continue. In view of the above observation, it is would be safe to attempt long call if it moves and sustain above 18146.55 but aggressive trader can try long call if it moves and sustain above 18045 . Since it is giving some weak indication therefore if it fails to cross 18146.55 in 2hours of trade then short call can also be attempted.

It is important to mention here that the range for the week starting from 11-7-2016 is between 17910---18147 and breakout on either side will decide  which way it will move, the important points in between are at 18004/18020/18045/18098 .It is therefore suggested to structure your trade keeping the said range in mind.

TRADING OPTION FOR-11-7-2016

1. It would be safe to try long call above 18146.55.

2. Aggressive trader can try long call above 18045 with a stop loss of below 17985 for a target of 18147/18188/18227/18313.

3. Short call can be tried if it fails to cross 18146.55 for some time say at least 2 hours of trade with a stop loss of above 18170. It could be a risky trade but worth trying.

4. Short call can safely be tried if it moves and sustain below 17907 with    a stop loss of above 18045 for a target of 17863/17740/17687/17546/17527.

Remark: - The trend is up. But it is giving some weak indication therefore it would be better to try long call above 18147; short call can also be attempted as suggested above. Please initiate your trade after watching the market for some time.  

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.

                                                                                     

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX-NIFTY- AN ALERT SIGN- 8-7-2016

 IT MAY BE HEADING FOR SEVERE CORRECTION OR CRASH LIKE SITUATION

After making bottom at 6825.80 on 29-2-2016 it has been moving up  for last more than 4 months. But off late stock tips have started circulating and you would find that the stocks which completely lacks fundamental have started rising relentlessly and a sort of euphoria is building up and the over optimism is present in abundance. The valuation are also stretched and all these developments are a warning signal. Please note that same atmosphere has started building up as it was before the crash of 1992/2000/2008. It may take few days/weeks and months but crash like situation is likely happen may be latest by Sept-2016 or earlier any time. Therefore it is suggested not to get carried away by the market stock tips and do your own research and pick up stocks with sound fundamental and which are available at reasonable valuation else wait for your price to come to invest. It is suggested not to chase the stock.    

Technically it has retraced more than 68% of fall taken from the all time top of 9119.20 and the recent major bottom of 6825.80, furthermore market is moving in 8 years time cycle it crashed in 1992 then 2000 and then 2008 and we are in 2016 now so there is a potential threat of a crash like situation (see my post of 6-1-2016). Therefore please note that it will need a very strong trigger to push the market forward from here. The important points for it are 8336.30/8243 & 8170 as of now. Please note that break below 8336.30 will be an alert sign but as long as it holds 8170 hope is alive for continuation of the up move for some more time before the inevitable could happen.

Remark: - It is precariously poised, so be alert and cautious and take your trading or investment call judiciously.

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX-NIFTY-A TECHNICAL VIEW FOR—8-7-2016

CNX-NIFTY

Closed at 8337.90 on 7-7-2016 (Open-8342/High-8361.95/Low-8317.70)

Support: -8336.30/8313.05/8308.15/8294.85/8243/8212/8153.25/8146/8134/8063.90/7992/ 7972/7946.35/7938.45/7890/7849.80/7822.70/7777.60/7735.75/7723.85/7714.15/7691.20/7678.35/7667.25/7582.25/7551/7539.50/7516.85/7422/7405/7350.30/7295/7252.

Resistance: -8356.75/8375/8398.45/8450/8489.55/8530/8550-8600/ 8621.

                      

It closed with a meager gain of 1.95 points and above its critical top of 8336.30 today. But it seems that the correction may not be over as yet because to confirm the correction completion it has to sustain above 8336.30, close above 8370.70 and move above 8398.45 in next 3-4-days time and if it fails to do that then the down correction may deepen. Therefore it would be safe to try long trade only if it closes above 8370.70 at least, so avoid long trade on 8-7-2016.However aggressive trader can try long call if it moves and sustain above 8377 intraday. Please note that it is not giving any signal for attempting short trade now but in view of the above observation short call can be tried if it consistently trades below 8308.     

 

 TRADING OPTION FOR-8-7-2016

1. It would be safe to try long call if it closes above 8370.70.

2. Aggressive trader can try long call above 8377 with a stop loss of below 8330 for a target of 8399/8425/8460.

3. Short call can surely be tried if it moves and sustain below 8308 with    a stop loss of above 8350 for a target of 8287/8243/8212/8153/8146/8134. It could be a risky trade but worth trying.

Remark: - The trend is up. It closed on the positive note but it is not sure whether correction is over or not, therefore long call could be a risky proposition. Take your trading call as suggested above but cautiously. Please initiate your trade after watching the market for some time.  

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.

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX--BANK NIFTY-A TECHNICAL VIEW FOR—8-7-2016

CNX--BANK NIFTY

Closed at 18084.90 on 7-7-2016(Open-18036.30/High-18146.55/Low-17997.10)

Support:18074.95/18051.50/18029.05/ 17943.50/17907.50/17670/17636/ 17527/17518/17425/17350/17174.70/17067.45/17029.85/16962/16932.50/16922.05/16587.25/16431.65/16368/16282.75/16188/16186.25/16141.65/16099.65/16011/15762.20/15682.65/15522/15440.25/15005/14767/14761/14754/14445/13810.60/13407.25.

Resistance: 18146.55/18227/18312/18580.65/18750/19111.

Although it closed with a gain and above its critical point of 18045 today, but the fear of down correction is not yet over because it has not yet crossed the recent top of 18097.65 on the line chart and made double top on the bar chart today at 18146.55. Furthermore it has to be seen whether it will sustain above its critical point of 18045 or not. Therefore to confirm that the down correction may be over it has to sustain above 18045, close above 18097.65 and reasonably move above 18146.55 in next 3-4 days time else the down correction may deepen. Therefore it would be safe to try long trade only if it closes above 18097.65 at least, so avoid long trade on 8-7-2016.However aggressive trader can try long call if it moves and sustain above 18147 intraday. Please note that it is not giving any signal for attempting short trade now but in view of the above observation short call can be tried if it fails to cross 18146.55 level for reasonable time or try sell trade below 17985 for sure.      

TRADING OPTION FOR-8-7-2016

1. It would be safe to try long call if it closes above 18097.65.

2. Aggressive trader can try long call above 18147 with a stop loss of below 17985 for a target of 18147/18188/18227/18313.

3. Short call can be tried if it fails to cross 18146.55 for some time with a stop loss of above 18170. It could be a risky trade but worth trying.

  

4. Short call can surely be tried if it moves and sustain below 17985 with    a stop loss of above 18100 for a target of 17863/17740/17687/17546/17527. It could be a risky trade but worth trying.

Remark: - The trend is up. It closed on the positive note but it is not sure whether correction is over or not, therefore long call could be a risky proposition. Take your trading call as suggested above but cautiously. Please initiate your trade after watching the market for some time.  

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.

                                                                                     

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX-NIFTY- AN OBSERVATION BASED ON TIME CYCLE-6-7-2016

IT SEEMS THAT THE ON-GOING UP MOVE HAS MATURED AND MAY HEAD FOR MODERATE TO SEVERE DOWN MOVE

If you look at the monthly chart you will find that it broke down from 8336.30 level in the month of October-2015 on 26.10.2015 and made a bottom at 6825.80 on 29.2.2016.It took 87 days to make this bottom and from there it started the on-going up-move and hit a high of 8398.45 on 4-7-2016 crossing the break down top of 8336.30 on the 85^th day and closed above it but could not sustain and closed below 8336.30 on the 86^th day. It almost took similar time period from the top of 8336.30 to the bottom of 6825.80 and then to the recent top of 8398.45, therefore the on-going up move was not an impulse move but was a corrective move, had it been an impulse move it would have crossed the break down top of 8336.30 in 25% or may be in 50% time period and then it would have moved on for much upper levels. Since it took similar time period in the entire process therefore it seems that the on-going up move has matured and now it may witness moderate to severe correction from here or may be a fresh down move altogether.

In view of the above observation it is suggested to attempt fresh long call only if it closes and sustain above 8336.30 or to be on the safe side above its recent top of 8398.45 because then only a fresh up move may begin.      

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX-NIFTY-A TECHNICAL VIEW FOR—7-7-2016

CNX-NIFTY

Closed at 8335.95 on 5-7-2016 (Open-8379.30/High-8381.45/Low-8319.95)

Support: -8313.05/8308.15/8294.85/8243/8212/8153.25/8146/8134/8063.90/7992/ 7972/7946.35/7938.45/7890/7849.80/7822.70/7777.60/7735.75/7723.85/7714.15/7691.20/7678.35/7667.25/7582.25/7551/7539.50/7516.85/7422/7405/7350.30/7295/7252.

Resistance: -8336.30/8356.75/8375/8398.45/8450/8489.55/8530/8550-8600/ 8621.

                      

It finally corrected today after 6 days of straight and vertical rise but the gap it created from 29-6-2016 to 1-7-2016 is still there and the concern is that if it makes an attempt to fill the gap it can come down to 8308.15/8212/8146 level, which is still possible theoretically. Overall it is showing strength as of now therefore it has to be seen in next 2-3 days time that how this correction culminates. Moving down it will find support at 8294.85 and then 8243.12 please note that sustained break below 8243.12 may take it down for a deeper correction and then it will find support at 8218/8162/8107/8038 and it may possibly bounce back from any of these points and then may continue the up move again.  Please note that sustained break below 8038 may drag it down further but as long as it holds the range of 7992--7938 the uptrend may be in place.   

 In view of the above observation it is suggested that long trade should only be tried if it moves and sustain above 8377 or buy on decline can also be attempted but do not increase long commitment if it starts trading below 8243 because then  it may seek support at much lower level of 8218/8162/8107/8038. Please note that it would be safe to try long call above 8377 or else try long call only if it gives visible indication of correction completion possibly at the levels mentioned above. To take advantage of down correction short call can be attempted if it moves and sustain below 8308. 

The overall trend is up as of now but this correction may be severe if it fails to close and sustain above 8336.30 soon  or if it break below 8243 and sustain,which may be kept in mind.     

     

   

TRADING OPTION FOR-7-7-2016

1. Long call can be tried above 8377 with a stop loss of below 8330 for a target of 8399/8425/8460.

2. Long call can be tried on decline but not below 8243 with a stop loss of below 8175.It could be a risky trade.

3. Short call can be tried if it moves and sustain below 8308 with a stop loss of above 8357 for a target of 8287/8243/8212/8153/8146/8134. Short trade is suggested for taking advantage of down correction.  It could be a risky trade but worth trying.

  

Remark: - The trend is up. As expected it corrected today but since the gaps are still there it can correct further therefore it has to be seen how this correction gets completed. It is therefore suggested to try long call above 8377 only; short call can also be tried as suggested above for down correction move. Please initiate your trade after watching the market for some time.  

  

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.

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

DAY TRADING CALLS FOR 7-7-2016

 TRADING CALLS

1. ACC

Sell below -1585, S/L-1591, Target-1566/1564/1538.

2. ASHOK LEYLAND

Sell below -92, S/L-92.50, Target-91.15/90.90/88.50/87.15/85.15.

3. AUROBINDO PHARMA

Buy above -773, S/L-770, Target-779/787/798/803.

                            Or

Sell below-770, S/L-774, Target-762/757/746/731.

4. BAJAJ AUTO

Sell below -2610, S/L-2617, Target-2602/2554/2552/2527/2500.

5. BHARAT FORGE.

Sell below-773, S/L-779, Target-758/750/744/731.

6. BHARTI AIRTEL.

Sell below-363.60, S/L-366, Target-355/349/344.

 7. CUMMINS.

Sell below-840, S/L-843, Target-837/827/818.

8. GLENMARK PHARMA  

Sell below -821, S/L-826, Target-810/797/787.

9. HERO MOTOR CORP.

Sell below-3104, S/L-3112, Target-3074/3055/3038/3013.

10. HINDALCO.

Sell below -123.30, S/L-124, Target-121.25/118.65/117.75.

11. ICICI BANK.

Sell below -244.55, S/L-246, Target-243/241.90/239.30/234.

12. IDEA CELLULAR.

Sell below -104.80, S/L-105.60, Target-104/103.55/101.10/99.

13. INFOSYS.

Sell below -1170, S/L-1176, Target-1166/1155/1151/1128.

                                        OR

Buy above 1188.S/L-1180,Target-1195/1204/1216/1228.

14. TATA MOTORS.

Sell below -459.50, S/L-461.50, Target-454/451/445/436/433.

                       

                                     

NOTE: - DAY TRADING CALL DOES NOT INDICATE OVERALL TREND OF THE STOCK. WATCH THE MARKET    FOR 15-20 MINUTES BEFORE INTIATING TRADE.

Note: Price stated here is of spot market.

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.

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.

Contact me for strategic guidance to enter and exit the trade

CNX--BANK NIFTY-A TECHNICAL VIEW FOR—7-7-2016

CNX--BANK NIFTY

Closed at 18004.25 on 4-7-2016(Open-18122.40/High-18124.10/Low-17989.60)

Support:17943.50/17907.50/17670/17636/ 17527/17518/17425/17350/17174.70/17067.45/17029.85/16962/16932.50/16922.05/16587.25/16431.65/16368/16282.75/16188/16186.25/16141.65/16099.65/16011/15762.20/15682.65/15522/15440.25/15005/14767/14761/14754/14445/13810.60/13407.25.

Resistance: 18029.05/18051.50/18074.95/18227/18312/18580.65/18750/19111.

After 6 days of straight rise it corrected today and closed below the critical point of 18045(see my earlier post) after staying above it for just one day therefore it seems that it is showing exhaustion at this level and it could correct further before resuming the up move again. Please note that sustained close above this level only may take it to the level of 18300—18600 or higher. Overall it is looking good but certain technical indicators indicates otherwise and points that it may reasonably correct from here, therefore it has to be seen in next 2-3 days time that how this correction culminates. Going down it will find support at 17863/17687/17546/17404/17229 and it may possibly bounce back from any of these points and then may continue the up move again.  Please note that sustained break below 17229 may drag it down further but as long as it holds the range of 17029—16922 the uptrend may be in place.

 In view of the above observation it is suggested that long trade should only be tried if it moves and sustain above 18100 or buy on decline can also be attempted but do not increase long commitment if it starts trading below 17716 because then it may seek support at much lower levels of 17687/17546.35/17404/17229. Please note that it would be safe to try long call above 18100 or else try long call only if it gives visible indication of correction completion possibly at the levels mentioned above. To take advantage of down correction short call can be attempted if it moves and sustain below 17985. The overall trend is up as of now but this correction may be severe if it fails to close and sustain above 18045 soon or if it break below 17716 and sustain, which may be kept in mind.     

     

  

TRADING OPTION FOR-7-7-2016

1. Long call can be tried above 18100 with a stop loss of below 17985 for a target of 18147/18188/18227/18313.

2. Long call can be tried on decline at proper points but not below 17716 with a stop loss of below 17518.It could be a risky trade.

3. Short call can be tried if it moves and sustain below 17985 with a stop loss of above 18100 for a target of 17863/17740/17687/17546/17527. Short trade is suggested for taking advantage of down correction. It could be a risky trade but worth trying.

Remark: - The trend is up. As expected it corrected today and technical parameters suggest that it could correct further from here   therefore it has to be seen how this correction ends. It is therefore suggested to try long call above 18100 only; short call seems a safer bet now so it can be tried as suggested above for down correction move. Please initiate your trade after watching the market for some time.  

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.

                                                                                     

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX-NIFTY-A TECHNICAL VIEW FOR—5-7-2016

CNX-NIFTY

Closed at 8370.70 on 4-7-2016 (Open-8376.25/High-8398.45/Low-8364.70)

Support: -8356.75/8336.30/8308.15/8295/8243/8212/8153.25/8146/8134/8063.90/7992/ 7972/7946.35/7938.45/7890/7849.80/7822.70/7777.60/7735.75/7723.85/7714.15/7691.20/7678.35/7667.25/7582.25/7551/7539.50/7516.85/7422/7405/7350.30/7295/7252.

Resistance: -8375/8398.45/8489.55/8530/8550-8600/ 8621.

                      

It opened with an up gap today also and it was the 4^th gap in a row and it has moved up unabated for the 6^th straight day. Although it almost filled the gap it created on 1-7-2016 the same day but technically the gap is still there so there are 4 gaps in a row with vertical rise which looks slightly scary and it seems that correction may creep in any moment, so be alert and watchful in long trade. Furthermore if it makes an attempt to fill the gap it can come down to 8308/8212/8146 levels which may please be noted. However technically it is looking good so it may move up further for another 1-2 days before it could correct. But please note that vertical rise may have a vertical fall therefore long trade should be handled with extreme care at this point of time.  It looks highly vulnerable for a correction any time so it is better to avoid long call today, however day trader can still try it if it move and sustain above 8377 avoid long call for sure below 8356.75. Short call can be attempted for taking advantage of expected down correction if it moves below 8356.75 and sustain.    

It is important to mention here that as long as it holds 8243 on the closing basis the uptrend may be in place but sustained break below this mark can take it for a deeper down correction. Please note that break below 8050 could be a warning signal for the uptrend and sustained break below 7938 may put a break on the uptrend which may please be noted.

TRADING OPTION FOR-5-7-2016

1. Long call can be tried above 8377 with a stop loss of below 8350 for a target of 8399/8425/8460. It could be a risky trade.

2. Long call can be tried on decline but not below 8243 with a stop loss of below 8175.

3. Short call can be tried if it moves and sustain below 8356.75 with a stop loss of above 8400 for a target of 8328/8313/8308/8243/8212/8153/8146/8134. Short trade is suggested for taking advantage of possible correction only.  It could be a risky trade but worth trying.

Remark: - The trend is up. But since it is vertically moving up leaving gaps also which is an alert sign that correction may creep in anytime, therefore it is suggested to avoid long call today instead short can be tried as suggested above. Please initiate your trade after watching the market for some time.  

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.

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

DAY TRADING CALLS FOR 4-7-2016

TRADING CALLS

1. APOLLO HOSPITAL

Sell near but below -1337, S/L-1342, Target-1322/1311/1307/1291.

2. AUROBINDO PHARMA

Sell below -743, S/L-747, Target-740/734/731/728/712.

3. BHARAT FORGE.

Buy above-775, S/L-770, Target-790/796/805.

 4. CADILA HEALTHCARE.

Buy above-510, S/L-507, Target-521/536/542.

5. DIVIS LAB.

Buy above-1138, S/L-1131, Target-1147/1161/1168.

6. GLENMARK PHARMA  

Sell below -797, S/L-803, Target-784/782/774/763.

7. L&T.

Buy above-1545, S/L-1539, Target-1575/1610/1629.

8.  PUNJAB NATIONAL BANK.

Sell below -104.85, S/L-105.40, Target-103.5/102.85/101.10/99.70.

9.  TCS.

Sell below -2494, S/L-2504, Target-2465/2458/2453.

                                        OR

Buy above 2504.S/L-2494,Target-2542/2565/2578.

NOTE: - DAY TRADING CALL DOES NOT INDICATE OVERALL TREND OF THE STOCK. WATCH THE MARKET    FOR 10-15 MINUTES BEFORE INTIATING TRADE.

Note: Price stated here is of spot market.

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.

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.

Contact me for strategic guidance to enter and exit the trade

CNX-NIFTY-A TECHNICAL VIEW FOR—4-7-2016

CNX-NIFTY

Closed at 8328.35 on 1-7-2016 (Open-8313.05/High-8356.75/Low-8308.65)

Support: -8308.15/8295/8243/8212/8153.25/8146/8134/8063.90/7992/ 7972/7946.35/7938.45/7890/7849.80/7822.70/7777.60/7735.75/7723.85/7714.15/7691.20/7678.35/7667.25/7582.25/7551/7539.50/7516.85/7422/7405/7350.30/7295/7252.

Resistance: -8336.30/8356.75//8375/8489.55/8530/8550-8600/ 8621.

                      

It has been vertically moving up for last five days and with up gap for last three days which is slightly concerning, however it almost covered the today’s gap but the earlier two gaps are still intact. So if it makes an attempt to fill the earlier gaps in next 2-3 days time which is theoretically still possible then it could come down to 8212 and then 8146 level. Furthermore also note that vertical rise may have a vertical fall too, but since it is exhibiting strength it can still move up from here for another 2-3 days before it could finally correct. Although technically it looks good but in wake of its vertical rise with unfilled gaps chances are that it could correct latest by 8^th of July-2016 or earlier.

Moving up it will face resistance at 8336.30/8375-85/8450. It is therefore suggested to be extra careful in fresh long trades around the aforesaid range; however long trades can be attempted above 8337 but with caution. It is not indicating to attempt fresh short call here but it would be worth trying if it consistently starts trading below 8300 with a stop loss of above 8340 and for existing short trade one can square trade above 8340 but reinstate your trade if it sustains below 8300.     

TRADING OPTION FOR-4-7-2016

1. Long call can be tried above 8337 with a stop loss of below 8300 for a target of 8357/8375/8385/8425.

2. Long call can be tried on decline but not below 8175 with a stop loss of below 8140. Keep your long position light if it consistently starts trading below 8243.

3. Short call can be tried if it moves and sustain below 8300 with a stop loss of above 8340 for a target of 8243/8212/8153/8146/8134. Short trade is suggested for taking advantage of possible correction only.  It could be a risky trade but worth trying.

Remark: - The trend is up. But since it is vertically moving up leaving gaps also which is an alert sign that correction may creep in anytime, however long call can still be attempted as suggested above but with due caution and existing short call should be managed as mentioned in the above paragraph and fresh short can also be attempted as suggested above. Please initiate your trade after watching the market for some time.  

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.

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.

CNX--BANK NIFTY-A TECHNICAL VIEW FOR—4-7-2016

CNX--BANK NIFTY

Closed at 17985.55 on 1-7-2016(Open-18018.70/High-18074.95/Low-17955.30)

Support:17943.50/17907.50/17670/17636/ 17527/17518/17425/17350/17174.70/17067.45/17029.85/16962/16932.50/16922.05/16587.25/16431.65/16368/16282.75/16188/16186.25/16141.65/16099.65/16011/15762.20/15682.65/15522/15440.25/15005/14767/14761/14754/14445/13810.60/13407.25.

Resistance: 18029.05/18051.50/18074.95/18227/18312/18580.65/18750/19111.

It has been vertically moving up for last five days, it did cross its critical point of 18045(see my post for 30-6-2016& 1-7-20160) intraday today but could not close above it. Although technically it is still looking good but its relative strength is less compared to Nifty and certain technical indicators indicates that it may correct form here. Furthermore also note that vertical rise may have a vertical fall too, but since it is showing strength now it can still move up from here for another 2-3 days before it could finally correct. It seems that it may correct latest by 8^th July-16 or earlier also. Please note that sustained close above 18045 will see it moving to higher levels.   

Moving up it will face resistance at 18045/18075/18227. It is therefore suggested to be extra careful in fresh long trades around the aforesaid range; however long trades can be attempted above 18020 but with caution. It is not indicating to attempt fresh short call here but it would be worth trying if it consistently starts trading below 17930 with a stop loss of above 18020 and for existing short trade one can square trade above 18020 but reinstate your trade if it sustains below 17930. Please note that if it fails to cross 18052 & 18075 level intraday for at least 2 hours of trade  then short call can be attempted below 18045 with a stop loss of above 18100.    

TRADING OPTION FOR-4-7-2016

1. Long call can be tried above 18020 with a stop loss of below 17930 for a target of 18051.50/18075/18188/18227/18313.

2. Long call can be tried on decline at proper points but not below 17650 with a stop loss of below 17530.

3. Short call can be tried if it moves and sustain below 17930 with a stop loss of above 18020 for a target of 17825/17740/17643/17527. Short trade is suggested for taking advantage of correction only. It could be a risky trade but worth trying.

4. If it fails to cross 18051.50& 18075 intraday for at least two hours of trade then short trade can be attempted below 18045 with a stop loss of above 18100.  It could be a risky trade but worth trying.

Remark: - The trend is up. But since it is vertically moving up  which is an alert sign that correction may creep in anytime, however long call can still be attempted as suggested above but with due caution and existing short call should be managed as mentioned in the above paragraph and fresh short can also be attempted as suggested above. Please initiate your trade after watching the market for some time.  

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.

                                                                                     

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.

Note: Price stated here is of spot market.

Contact me for strategic guidance to enter and exit the trade.