A TECHNICAL VIEW ON CNX-NIFTY---7.4.2020

CNX-NIFTY

Open-8356.55--High-8356.55—Low-8055.50—Close-8083.80 on 3.4.2020

Support:8055/7997/7946.74/7893.80/7816/7723.85/7691/7551—39---16—511.10/7422/7241/6825.80/6581/6357.10/6338.50.

Resistance:8148.50/8269/8336/8553/8600/8672.07/8801.14/8996.60/9038.90/9119.20/9269.20/9341/9448.75/9685.55/9687.55/9944.40.

 (Bold and underlined figures are most important)                                                                       

Further to my last post of 30.3.2020, it moved as expected and it oscillated in the range of 8150—8672.05—8801.14 for 3 days and then broken the range on the downside and ended the week at 8083.80 very near to the low of the week which was at 8055.80, closing near the low is a bad sign and break below 8055.80 may take it down further with reasonable force. It’s most crucial and critical point is at 7946.74 and sustained break below this mark on the closing basis for at least 3-4 days will open the downside up to 6850—6800 which may please be noted. The trend is bearish therefore it will drift down in coming days /weeks. But it may stage pullback rallies from time to time.   

The technical parameters and indicators are weak but it tried to stay afloat above its short term moving averages for 2-3 days week but could not sustain and finally broke it down decisively, so now it is still well below its short, medium and long term moving averages on the daily & weekly Charts with negative crossovers in some cases which are a very bad sign. But some indicators are in oversold territory and particularly the RSI indicator is showing positive divergence on the daily chart but on the weekly & monthly chart it is showing huge negative divergence, so it may seek much lower levels in time to come. It is important to mention here that positive divergence appearing on the daily chart may not come into play because the moving average placements are not supporting it now, therefore chances of negative divergence which is appearing on the weekly & monthly chart coming into play is pretty strong at this point of time.

Kindly note that as of now the upside looks capped in the range of 8300—8475---8600 in case it stage a pullback rally in the coming week starting from 7-4-2020,but it moves above 8600 and sustain then it could go higher, chances of which looks slim at this point of time. Similarly break below 8055 will open the downside and sustained break below its most crucial and critical point of  7946.74 and then below 7816 on the closing basis for at least 3-4 days will open the downside up to 6850—6800 or lower may be up to 6580,which is very likely.

It is needless to mention that it is in bear phase; therefore sell on the rise strategy at appropriate points would be the best thing to do till bottom formation clarity emerges. Therefore it is suggested that long trade should be completely avoided as of now. However those who wish to take pullback rally advantage can try long trade at proper levels (see support & resistance) with strict stop losses. But mind you long trade could be a very risky affair and can trap you unaware.

  

 IMPORTANT NOTE: - Be alert in short trade if it closes above 8600 &8801.14 and be alert in long trade if it closes below 7946.74 & 7816.

 Remark: - The bear market is confirmed and I once again reiterate that this time possibly it is going to be very painful bear market both time-wise and price-wise. Therefore it is likely to seek much lower levels from here in days to come and very likely to break the bottom of 7511.10 it made on 24.3.2020 in coming days; However in between relief rally could be there but one should avoid long trade till bottom formation signs are visible because these rally can trap you. It is therefore suggested to adopt sell on the rise strategy as of now. The bias is hugely bearish.     

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

A TECHNICAL VIEW ON CNX-NIFTY---30.3.2020

CNX-NIFTY

Open-8949.10--High-9038.40—Low-8522.90—Close-8660.25 on 27.3.2020

Support: 8654.75/8537/8269/8148.50/7946.74/7893.80/7832.55/7723.85/7691/7551—39---16—511.10/7422/7241/6825.80.

Resistance:8672.07/8801.14/8996.60/9038.90/9119.20/9269.20/9341/9448.75/9685.55/9687.55/9944.40.

 (Bold and underlined figures are most important)                                                                       

As envisaged in my last post of 23.3.2020, it did break the bottom of 7893.80 again and made a new low of 7511.10 it also stayed below its most critical point of 7946.74 for two days and then bounced back to end the week at 8660.25. It is highly volatile and this volatility is going to stay for some time and amidst this volatility it is very likely that it can break 7946.74 level again and possibly also break the low of 7511.10 which it made on 24.3.2020. The trend is bearish therefore in longer time frame it is likely to drift down in coming days/weeks. However it may witness relief rallies in between from time to time.   

 The technical parameters and indicators are still weak but it has moved above some of its short term moving average in last two days; however it is still well below its medium and long term moving averages on the daily & weekly Charts with negative crossovers in some cases which are a very bad sign. But some indicators are in oversold territory and particularly the RSI indicator is showing huge positive divergence on the daily chart and indicates that it could move up and may try to cross 9950 mark and may be above this also in coming days, Chances of which looks bleak at this point of time, but as long as it holds 8150 and moves above 8672.07 and then above 8801.14 and sustain on the closing basis then this ongoing relief rally may extend up to 9390 or more, chances of happening this looks slim at this point of time because it hit a high of 9038.40 today but could not close above its critical point of 8672.07 & 8801.14 therefore it seems that either this relief rally may have exhausted or it may exhaust in coming 1-2 days. The present range for it is between 8150---8672.07---8801.14.

It is important to note that if it breaks and sustain below 7946.74 on the closing basis for some days (at least 3-4 days) then it can open the downside up to 6800-6850 level which may please be noted.

Since it is in bear phase, therefore sell on the rise strategy at appropriate points would be the best thing to do till bottom formation clarity emerges. It is suggested that long trade should be completely avoided as of now. However those who wish to take relief rally advantage can try long trade at proper levels (see support & resistance) with strict stop losses. But mind you long trade could be a very risky affair and can trap you unaware.

  

 IMPORTANT NOTE: - Be alert in short trade above 8672.07 &8801.14 and be alert in long trade below 8801.14/8672.07 & 7946.74.

 Remark: - The bear market is confirmed and I once again reiterate that this time possibly it is going to be very painful bear market both time-wise and price-wise. Therefore it is likely to seek much lower levels from here in days to come and may break the bottom of 7511.10 it made on 24.3.2020 in coming days; therefore long trade should be avoided till bottom formation signs are visible. It is therefore suggested to adopt sell on the rise strategy as of now. The bias is hugely bearish.     

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

A TECHNICAL VIEW ON CNX-NIFTY---23.3.2020

 CNX-NIFTY

Open-8284.45--High-8883—Low-8178.20—Close-8745.45 on 20.3.2020

Support: 8654.75/8148.50/7946.74/7893.80/7832.55/7723.85/7691/7551—39---16/7422/7241/6825.80.

Resistance:8801.14/8917.67/8996.60/9119.20/9269.20/9341/9448.75/9685.55/9687.55/9944.40.

 (Bold and underlined figures are most important)                                                                       

As envisaged in my last post of 16.3.2020, it behaved the way as expected. It did break the bottom of 7893.80 during the preceding week but bounced back to end the week at 8745.45. The volatility is still huge and it seems that it is going to stay for some time which is not good for steady and smooth market. The down gap it created on 6^th, 9th &12^th March-2020 is not likely to be filled now, so chances of it moving up drastically is ruled out. It is already in the bear phase and likely to drift down in coming days/week with in between volatile pull back rallies.

The technical parameters and indicators are still bad and it is well below its short, medium and long term moving averages on the daily & weekly Charts and with negative crossovers in some cases which is a very bad sign. However some indicators are in oversold territory now and particularly the RSI indicator is showing positive divergence on the daily chart and indicate that it could move up and may try to cross 9950 mark in coming days, but I feel that it is less likely to happen because the moving average placement are not supporting it as of now, so this divergence could be a dampener. But short and volatile relief rallies from time to time can happen but it is advised not to get trapped in these rallies. Moving down its critical & important support points are at 7946.74/7893.80/7832.55/6825.80. Similarly going up it will face stiff resistance at 8801.14/8917.67/9588.97/9685.55/9687.55/9944.40. Kindly note that if it moves above 8917.67 and sustain on the closing basis then it may try to move up to 9590, but chances of which looks slim at this point of time. Similarly if it sustain below 8801.14(it is below this point now) then it can test or break again the bottom of 7893.80 it made on 26.12.2016 and most importantly if it breaks and sustain below 7946.74  on the closing basis for some days then it can open the downside up to 6800-6850 level which may please be noted.   

Since it is in bear phase, therefore sell on the rise strategy at appropriate points would be the best thing to do till bottom formation clarity emerges. It is suggested that long trade should be completely avoided as of now. However those who wish to take relief rally advantage can try long trade at proper levels (see support & resistance) with strict stop losses. But mind you long trade could be a risky affair.

  

 IMPORTANT NOTE: - Be alert in short trade above 8801.14& 8917.67 and be alert in long trade below 8801.14 & 7946.74.

 Remark: - The bear market is confirmed and I once again reiterate that this time possibly it is going to be very painful bear market both time-wise and price-wise. As of now it is likely to seek much lower levels from here in days to come. So long trade should be avoided till bottom formation signs are visible. It is therefore suggested to adopt sell on the rise strategy as of now.  The bias is hugely bearish.     

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

A TECHNICAL VIEW ON CNX-NIFTY---16.3.2020

CNX-NIFTY

Open-9107.60--High-10159.40—Low-8555.15—Close-9955.20 on 13.3.2020

Support: 9951.90/9944/9685/9626/8964/8801.14/8654.75/8555/8148.50.

Resistance:10004.55/10138.60/10289.50/10333.85/10440.55/10447.62/10489/10583.65/10637.15/10670.25/10746.35/10782.

 (Bold and underlined figures are most important)                                                                       

 As envisaged in my last post of 9.3.2020, it behaved the way as anticipated but the intensity of the fall was unexpected. It witnessed huge volatility during the preceding week, please note that this kind of volatility is not a good for a steady and smooth market. It plunged down sharply on the last day of the week; it opened with a huge down gap and made a low of 8555.15 and then vehemently bounced back and hit a high of 10159.40 for the day before closing the day at 9955.20. The down gap it created for the day has been filled during the day. But the down gap it created on 6^th, 9th &12^th March are still there and if it makes an effort to fill these gaps it can come up to 11244.60/10827.40 &10334 levels respectively but chances of filling the first two gap is looking slim at this point of time but it can still try to fill the gap it created on 12^th March in next 3-4 days and if it does then it can come up to 10334 else it may not fill this gap also now.

It is important to note that it has slipped into the bear phase because it has decisively fallen below the threshold point of 9944.40 intraday, which is 20% correction point from the top of 12430.50 which confirm that the bear phase has begun. However it managed to close shade above this mark on 13.3.2020. The technical parameters are also going from bad to worse and it is well below its short, medium and long term moving averages on the daily & weekly Charts with negative crossovers in some cases which is a very bad sign and indicate that the downside is still open and the latest low of 8555.15 it made on 13.3.2020 could be breached in time to come , but the only possible respite could be that some technical indicators are showing that it is in oversold zone, so it may stage relief rally from time to time but in longer time frame it is expected to drift downward as of now. Moving down its critical & important support points are at 9944.40/9685--26/ 8964/8801.14 /8555.15/8148.50/7946.74/7893.80 similarly going up it will face stiff resistance at 10334/10583.65/10637.15. The range as of now is between 10583.65---9944.40---9685---8801.14.

The trend is down and it has entered into the bear phase after 2008 and it seems that it is going to be very painful bear market this time. Kindly note that sustained break below 9944.40 can take it down sharply (see support points mentioned above for the down targets) and sustained break below 8801.14 would indicate that it can test or break the bottom of 7893.80 it made on 26.12.2016, which may please be noted. Similarly if it moves up and sustain above 10160 (on the closing basis) then it can go up to 10334-75 or above. But it can only expect to regain some strength if it moves above 10583.65(on the closing basis) and sustain, chances of which seem less likely as of now. So in view of the above observation it is suggested to avoid long trade till visibility on bottom formation emerges instead sell on the rise at appropriate points would be a better option . However those who wish to take advantage of the relief rallies can structure their trade with the help of support and resistance levels mentioned above, but mind you it could be a risky trade.     

IMPORTANT NOTE: - Be alert in short trade above 9944.40/10375 & 10583.65 and be alert in long trade below 9944.40 / 8801.14 &8555.15.

 Remark: - The bear market is almost confirmed but it can be said more emphatically after 5-7 days. It is very much expected to drift down and likely to break its recent low of 8555.15 in coming days/weeks. So long trade should be avoided till bottom formation signs are visible. It is therefore suggested to adopt sell on the rise strategy as of now.  The bias is hugely bearish.     

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

TECHNICAL VIEW ON CNX-NIFTY---9.3.2020

CNX-NIFTY

Open-10942.65--High-11035.10—Low-10827.40—Close-10979.55 on 6.3.2020

Support: 10945/10827.40/10782/10746.35/10670.25/10637.15/10583.65/10536.84/10489.75/10447.62/10440.55/10333.85/10138.60/10004.55.

Resistance:10995.32/11090.15/11108.30/11146.90/11171.55/11223/11250.20/11311.60/11322.11/11358.22/11393/11416/11433/11461/11490.75/11549.10/11589/11625.

 (Bold and underlined figures are most important)                                                                       

 As envisaged in my last post of 2.3.2020, it did came near to its crucial support point of 10995.20, it hit a low of 11036.25 and bounced back to hit a high of  11433 on 2.3.2020  but could not cross the possible rally exhaustion point of 11489(refer my post of 2.3.2020). It finally broke its most crucial support point range upper band of 10995.22—938(closing basis) on the last trading day of the week. It opened with a huge down gap and hit a low of 10827.40 and closed at 10979.50.  Please note that if it does not bounce back above 10995.22 and sustain on the closing basis then it is very likely that it could test or break its bottom of 10637.15 it made on 23.8.2019, chances of breaking the bottom looks very strong at this point of time in coming days/weeks.  

Please note that the down gap it created on 6.3.2020 is still there and if it makes an effort to fill the gap in next 3-4 days which is technically possible then it can come up to 11244.60 else this gap may not be filled now. Looking at the overall chart pattern it seems that the gap may not filled now.

The technical parameters are going from bad to worse therefore further fall looks very imminent. Since it is below its critical support point of 10995.22 so it has opened up the downside up to 10637.15 or below therefore the benchmark point as of now is 10995.22 and if it sustain below it then the next critical support points would be at 10637.15/10583.65/10536.84/10447.62 and sustained break below 10583.65 and then below 10447.62 could potentially take it down to 10000 mark or below also, which may please be noted.

The trend is down so it is expected that it will steadily move down but in between pullback rally would be there but it is suggested to avoid taking advantage of these rallies because it can end abruptly trapping you on the wrong foot. Therefore it would be better to adopt sell on the rise strategy till it gives visible indication of bottoming out. The possible sell point range could be between 10995.22---11175.05 so sell near and below 11175 or below 10995.22 with a stop loss of above 11250 and 11065 respectively. Please don’t forget to trail your stop loss in profitable trade to avoid losses.    

IMPORTANT NOTE: - Be alert in short trade above 10995.22 & 11175.05

 Remark: - The long term uptrend is potentially threatened and the technical parameters also are very weak, therefore it seems very likely that it may drift down in coming days/weeks. Therefore for safe traders it is suggested to avoid long trade completely till it gives visible sign of bottoming out. But the aggressive trader can try long call with the help of support and resistance point as mentioned above, but mind you that it could be a risky trade. The down move is on therefore sell on the rise strategy would be a better option as of now. The bias is hugely bearish.     

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

TECHNICAL VIEW ON CNX-NIFTY---2.3.2020

CNX-NIFTY

Open-11382--High-11384.80—Low-11175.05—Close-11201.75 on 28.2.2020

Support: 11171.55/11108.30/11090—60/10995—987—985/10782/10746/10670/10637.15.

Resistance:11223/11234.95/11250.20/11311.60/11322.11/11358.22/11393/11416/11461/11490.75/11549.10/11589/11625.

                                                                       

After making an all time high of 12430.50 on 20-1-2020 it started correcting and made a bottom at 11614.50 on 3-2-2020 just after the Union Budget and thereafter it went up again up to 12246.70 on 14.2.2020 and started correcting again and broke the bottom of 11614.50.

It has been falling relentlessly for the last six days and has broken its important support levels in the process.  Furthermore it has broken its short, medium and long term moving average decisively and certain moving average combination has given negative crossover also and some are on the verge of it, which is bad sign. The RSI indicator is also showing huge negative divergence on daily, weekly and monthly chart and similarly the MACD is also in sell mode on daily, weekly and monthly chart, so technically it has weakened and indicates that the further fall may be ahead.

Its long term moving average range on daily chart is between 11875 to 11625 for 2.3.2020 (it changes every day) and on the weekly chart is between 11063—10938---10788 (it changes every day). Since it has fallen for six straight days so it may possibly make a short bottom any time and stage a pullback rally from its crucial support point at 11171.55/11090—60 & 10995.82--938 else it could go down further and may break major bottom of 10637.15 it made on 23.8.2019. Please note that if it gives a pullback rally then the possible exhaustion points could be at 11358.22/11489/11589 & 11625 and the in between stiff resistance points are at 11250/11322.11/11393/11461/11490.75/11549.10/11591.70. As you are aware that the pullback rallies are treacherous in nature therefore it can end abruptly also at any of the above mentioned points. The ongoing down move looks to be impulse in nature, so it seems that it is going to continue for some time, therefore the pullback rally may not be strong one.

It will show sign of slight comfort if it moves and sustain above its long term moving average lower band i.e.11625 (it changes every day) and will gain strength if it moves and sustain above its upper band of long term moving average i.e.11875(it changes every day). It is important to note here that if it doesn’t bounce back and sustain above its long term moving average lower band in few days then it can slip into the bear market and that would be very painful.

In view of the above observation it is suggested that long trade should be avoided as of now but those who wish to take advantage of the pullback rally may try long call at or near critical support points of 11171.55/11090—60 & 10995.82--938 with  proper stop losses only. Kindly note that it could be a risky trade so be vigilant to trail your stop loss in profitable trade. Since down move is on so sell on the rise would be a better option. The possible sell points could be 11322—11358/11440—490 &11549—590 or earlier also (refer resistance points above) please put proper stop loss in your trade and here also trail your stop losses in a profitable trade to avoid loss.    

 Remark: - The long term uptrend is threatened as it broken important support points and is well below its all long term moving averages and if it sustains below it for some time then the down move may accelerate and it may seek much lower levels in coming days/weeks. Therefore for safe traders it is suggested to avoid long trade completely till it moves at least above its long term moving average lower band and sustain. But the aggressive trader can try long call as suggested above, but I once again reiterate that it could be a risky trade. The down move is on therefore it is suggested to adopt sell on the rise strategy till it gives visible indication of bottoming out. The bias is hugely bearish as of now.     

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

A TECHNICAL VIEW ON CNX-NIFTY---3.9.2019

 CNX-NIFTY

Open-10987.80—High-11042.60---Low—10874.80---Close—11023.25 on 30.8.2019

Support:11008.95/10987.45/10985.15/10941.20/10923.60/10901.60/10881.70/10862.55/10782.60/10774.70/10692.35/10637.15/10628.65/10583/10558—550/10534.55/10440.55/10419.80—417.80/10333.85/10198/10138.60/10004.55/9951.90.

Resistance: 11078/11108.30/11118.10/11147/11171.55/11181.45.

Critical Points: - 10862.55 & 10881.70(It has to remain above this to indicate that hope of moving up is still alive else may head for good fall, these figures are valid till 31-12-2019.)  

                                                                             

Long Term Moving Average Range on daily chart (these figures changes every day):- 11427---11150- it is below this range which is a bad sign.

Long Term Moving Average Range on weekly chart (these figures changes every week):-10581---465---325—054---9939---801---730---9600. It is important to note that sustained break below 10581 would be an indication for a further fall.

Important Range :-11171.55---11150---10881.70---10862.55---10581.

TECHNICAL OBSERVATION

Further to my last post it moved above its critical point of 10862.55 & 10881.70 on 26.8.19. But it did break 10881.70 intraday and came closer to 10862.55 on 30.8.19 but eventually went up to close at 11023.25. However it could not go beyond its long term moving average lower band on the closing basis, which is at 11150 for 3.9.19(it changes every day) is still a bad sign. Therefore as long it sustain above 10862.55 it could oscillate in the range of 10862.55---11150----11171.55, only sustained break above 11150 & 11171.55 on the closing basis can take it further higher to the level of 11365 & 11430 and sustained break above 11430 may help it to resume the uptrend, chances of going beyond 11365&11430 looks slim at this point of time.

The technical indicators and overall chart setup indicates that the down trend is likely to continue and it could test or break the bottom of 10637.15 which it made on 23.8.19 after the ongoing pullback rally is over, it could give potential indication of rally exhaustion or completion if it closes below 10940. The trend is down but, since it is trading in a range and showing wild swing during the day, so traders can take both side trades, if they wish to taking help of the important range as mentioned above. Please note that for long trades it is suggested to try on decline but avoid long trade below 10881.70 and below 10862.55 for sure, stop loss would be below 10780. Short trade can be tried on the rise in the range of 11150—11171.55 with a stop loss of above 11235.I once again reiterate that the trend is down therefore it is suggested to avoid long trade because it could be risky affair but if initiated it should be handled with extreme caution and care.

Remark: - It is in downtrend. But now the relief rally is on but the overall technical setup indicates that as of now there is a strong possibility that it could break its recent bottom of 10637.15 in coming days. Therefore long trade should be avoided in general, but aggressive trader can try both side trades as suggested above.    

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.

MARUTI SUZUKI LTD-A TECHNICAL VIEW---24-8-2019

 MARUTI SUZUKI LTD

Open-6160—High-6279.60---Low—6040---Close—6254.35 on 23.8.2019

Support: 6233/6174/6155/5974/5955/5800/5710/5642/5590/5446.                                                                                                                

Resistance: -6298.50/6322/6359/6450/6480/6500.

Broad Range as of now:-5446—6350---6500.

Short Range:--5750---5900---6350

         It is technically weak and the trend is down but right now it is in pull back mode and it may further move up from here but it is near the upper band of the short range and not very far from the upper band of the broad range. This pull back rally may exhaust in the range 6350—6500 or earlier, but if it moves above 6500 and sustain then it can rise very smartly, but as of now it looks less likely. The pull back rallies are treacherous in nature and can fizzle out abruptly so long trader should be very alert and careful in their trade commitments; however those traders who wish to take advantage of this rally can take long position on decline and are advised to structure their trade with the help of the range and support and resistance levels mentioned above with proper stop losses. Please note that long trade should be completely avoided below 6000. You can off course try the long trade near the major bottom of 5450—446 with a stop loss of below 5390. 

Remark: - The trend is down but it is in pullback mode and this may last for some time but the price is near the strong resistance area, therefore for safe trader long trade should not be tried at this juncture. However aggressive trader can try long call on decline as suggested above. It still seems that long term bottom is yet to be made; so long term investor should have some patience before putting in fresh money.      

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 is of spot market.

Contact me for strategic guidance to enter and exit  trade.

A TECHNICAL VIEW ON CNX-NIFTY---24.8.2019

 CNX-NIFTY

Open-10699.60—High-10862.55---Low—10637.15---Close—10829.35 on 23.8.2019

Support:10782.60/10637.15/10628.65/10583/10558—550/10534.55/10440.55/10419.80—417.80/10333.85/10198/10138.60/10004.55/9951.90.

Resistance: 10893.25/10929.20/10941.20/10985.15/10987.45/11000/11078/11108.30/11118.10/111171.55/11181.45.

Critical Points: - 10863 & 10882(It has to remain above this to indicate that hope of moving up is still alive else may head for good fall, these figures are valid till 31-12-2019.)  

                                                                             

Long Term Moving Average Range on daily chart (these figures changes every day):- 11437---11138- it is below this range which is a very bad sign.

Long Term Moving Average Range on weekly chart (these figures changes every week):-10568---425---314—044---9928---792---715---582. It is important to note that sustained break below 10568 would be an indication for a deeper fall.

Fibonacci support points: - 10.773.63/10514.07/10459.57/10382.13/10304.11.

Fibonacci resistance points: - 10991.66/11027.47/11281.31.

The trend is down for sure, today it opened weak and made a bottom at 10637.15 thereafter it staged recovery and closed with a gain of 88 points. It seems that today’s up move was nothing but a relief rally on short covering after 3 days of fall and it may not last more than a day or two and expected to fizzle out anywhere in the range of 10882---950---11000 because the technical setup is bad. It is below its short, medium and long term moving averages and short and medium term averages have negative crossovers also which is a bad sign. Furthermore the important technical indicators are showing tremendously weak sign on daily, weekly and monthly charts which indicates further fall is ahead in coming days/weeks unless it at least moves above the lower band of its long term moving average which is placed at 11138(it changes every day) and sustain. Therefore the important range for the market as of now is given here under:-    

1.10863--10882-it has to sustain above it to show sign of improvement.

2. On the upside--10882—10950---11000---11138.

3. On the downside—10863---10568--550(sustained break below 10550 may trigger fresh fall).

Traders may structure their trade with the help of above range; they can try both side trades depending on the price movement because it gives swing both ways. But since the trend is down and it is just a pullback rally and these rallies are treacherous in nature and can end abruptly, therefore it is suggested to avoid long trade now instead short call can be tried on the rise at appropriate points (with the help of above range) with proper stop losses till complete bottoming out sign are visible. The bottom of 10637.15 it made today seems to be a short bottom and is likely to be broken in coming days.

Remark: - The trend is bearish and it seems that it is just the beginning of the downtrend and lot of pain is ahead unless it crosses the important points (as mentioned above) and sustain above it. Therefore long trade should be completely avoided and short call can be tried as suggested above, till the bottoming out signs is clearly visible.

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 is of spot market.

Contact me for strategic guidance to enter and exit trade.