A TECHNICAL VIEW ON CNX--BANK NIFTY FOR –12.8.2020

 

CNX--BANK NIFTY

Open-22050.20--High-22277.60--Low-22039.85—Close-22227.30 on 11.8.2020

Support:22122/21967/21807/21768/21611.40/21546/21536/21462.40/21122.10.

Resistance:22378/22418/22479.85/23080.60/23211.35/23235/23440.

Critical Points moving up: 22378---22418---22479.85---22697---22775.

Critical Points moving down:-22122----21865---21536---21464---21375.

(Bold and underlined figures are most important)

Please note that my views and observation in my post for 11.8.2020 will be valid for 12.8.2020 trading session also except for some changes in trading strategy. It is important to note that it may pick up strong up momentum once it moves and maintain above 22775(it can change) on the closing basis.

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.

TRADING STRATEGY

1. Buy on decline but not below 21936 with a stop loss of 21800.

Or

Buy if moves and maintains above 22278 for some time with a stop loss of 22190.It could be a risky trade but worth trying.

 

2. Sell if it moves below 21900 and maintain for some time with a stop loss of 22070.

Or

Sell on the rise near or within the range of 22700---22800 with a stop loss of 22900. It could be a risky trade but worth trying.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

A TECHNICAL UPDATE ON DOW JONES INDUSTRIAL AVERAGE –11.8.2020

 

DOW JONES INDUSTRIAL AVERAGE

Open-27488.21--High-27803.86—Low-27488.21—Close-27791.44 on 10.8.2020.

Support:27580.21/27297.59/27095/27025.38/26625.46/26611.03/26297.53/25992.28/25523.51/25369.75.

Resistance:28090/28174.97/28376.49/28872.80/29373.62/29568.57.

(Bold and underlined figures are most important)

Further to my post of 2.8.2020 it has given upside breakout on 6.8.2020 from the range of 25369.75----27297.69 and it is not only maintaining above 27297.65 level for the last three days but  has also crossed its recent high of 27580.21 yesterday which it made on 8.6.2020 , which shows extraordinary strength in it. Please note that 27297.59 is the benchmark level for it and if it holds this level then chances are that it could retest its all time high of 29568.57 or may go beyond also. But moving up it will face stiff resistance at 27997----28355----28783----29211 levels and it is a possibility that it may retreat from any of these levels too, so be watchful. The technical setup is strong and indicates up move may continue off course with intermittent correction. In it important to mention here that it will only weaken if it breaks 27297.59 levels and sustain on the closing basis.

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.

Contact me for strategic guidance to enter and exit trade.

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

 

A TECHNICAL VIEW ON CNX-NIFTY FOR –11.8.2020

 

CNX-NIFTY

Open-11270.25--High-11337.30—Low-11238—Close-11270.15 on 10.8.20203

Support:11270/11239.80/11171.55/11158/11114/11056.55/10991/10894.05/10882/10847.85/10676.55/10583.65/10562.90.

Resistance:11270/11341.40/11378/11447.

Critical Points moving down: -11270----11239.80---11171.55---11158.

Critical Points moving up: -11341.40---11378---11447.

 (Bold and underlined figures are most important)

It went near its recent high of 11341 today, but could not cross it and slipped down but the good thing is that it has closed shade above its critical point of 11270 and if it sustain above it on the closing basis, then it could possibly hit the level of 11447. Moving up to the stated level it could face resistance at 11341.40--- 11378 levels but if it manages to hold 11270 mark then it will clear the said resistances levels in all likelihood. It is on the sound technical footing for now therefore it seems that the further up move is ahead, off course with intermittent correction.

In view of the above observation long trade can be tried now or on decline but not below 11240. Short trade can also be attempted if it breaks 11230 levels and sustain below it for some time or attempt it after a reasonable rise in the appropriate range for taking advantage of the possible corrective move. Please note that overall it is buy on the decline market for now but since 11270—11447 is a make or break range, hence shot trade is suggested. One should be extremely cautious and alert in both side of trades in this range.

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.

TRADING STRATEGY

1. Buy on decline but not below 11240 with a stop loss of 11220.

Or

Buy if it maintains above 11270 with a stop loss of 11230.

2. Sell on the rise near or within the range of 11380---11420 with a stop loss of 11470.It could be a risky trade but worth trying.

Or

Sell if it maintains below 11230 or fall below it at any point of time during the day and stay below it for some time with a stop loss of 11280. It could be a risky trade but worth trying.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

 

A TECHNICAL VIEW ON CNX--BANK NIFTY FOR –11.8.2020

 

CNX--BANK NIFTY

Open-21824.90--High-22071.95--Low-21795.10—Close-21900.25 on 10.8.2020

Support:21807/21768/21611.40/21546/21536/21462.40/21122.10/21031.45/21026/20926/20501/20324.

Resistance:21967/22378/22418/22479.85/23080.60/23211.35.

Critical Points moving up: 22122----22378---22418---22479.85---22697---22775.

Critical Points moving down:-21865---21536---21464---21375---21027---20926.

(Bold and underlined figures are most important)

It is holding its critical point of 21537 & 21546(it can change) which is a good sign and if it continues to holds these points then the up move may continue off course with intermittent correction. Moving up it will face resistance at 21936---22121---22378---22697---22775 levels and it may gain some strength for the up momentum if it moves and maintain above 22418. Please note that sustained break below its critical points of 21537 & 21546(it can change) levels can push it into corrective mode again.

 In view of the above observation long trade can be tried on decline near but not below 21546 or can be tried if it moves and maintain at least above 21936 for some time. The technical setup is not that strong as of now in comparison with Nifty-50, therefore traders should be extremely alert and cautious in the long trade. Short trade can also be attempted if it breaks 21537 levels and sustain below it for some time or attempt it after a reasonable rise in the appropriate range for taking advantage of the possible corrective move.

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.

TRADING STRATEGY

1. Buy on decline but not below 21546 with a stop loss of 21430.

Or

Buy if moves and maintains above 21936 for some time with a stop loss of 21780.It could be a risky trade but worth trying.

 

2. Sell if it moves below 21537 and maintain for some time with a stop loss of 21650.

Or

Sell on the rise near or within the range of 22450---22550 with a stop loss of 22650. It could be a risky trade but worth trying.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

A TECHNICAL VIEW ON CENTURY TEXTILES LTD—10.8.2020

 

CENTURY TEXTILES LTD

Open-303.60--High-325.70--Low-303.30—Close-323.70 on 7.8.2020

Support:308.50/300/298.75/293.30/292.50/290/278.60/275.15.

Resistance:327.80/332.90/352.75/357/382.10/400.50/468.

Critical Points moving up:--332.90 is the breakout point sustained close above can take it higher.

Critical Points moving down:--290, sustained break below it may drag it down.

(Bold and underlined figures are most important)

It was moving sideways for quite some time in the range of 317.05---290.10 and it gave price and volume breakout from this range on 7.8.2020, but the major breakout will happen once it crosses 332.90 marks. However, yesterday breakout has given a distinct signal that the major breakout may happen in coming days and it could move up sharply. Therefore long trade can be tried on decline but not below 312 with a stop loss of 307 or buy if it moves and maintains above 325.70 with a stop loss of 322 or buy after it gives major break out above 332.90 and sustain with a stop loss of 327. The possible target after the major breakout could be 357—368---382---400.

In view of the above observation short term investors can buy on decline but not below 312 with a slightly longer stop loss of 301. Traders can also buy on decline but not below 312 with a stop loss of 307, but in this trade it can still move sideways for few days before moving up, so traders may feel insecure, but buying above 332.90 could take it up much faster. Therefore investor and traders can initiate long trade call as per their risk appetite and patience. The technical parameters as of now indicate that the up move is ahead. Please note that it is purely a technical buy call. DO NOT TRADE OR INVEST WITHOUT STOP LOSS

NOTE: - It is the technical assessment of the stock as of now, the technical interpretation changes with the price movement and time, therefore investors are advised to look into fundamental, financial details of the company and last but not the least management perception for the future of the company before taking investment decision.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

A TECHNICAL VIEW ON CNX-NIFTY FOR –10.8.2020

 

CNX-NIFTY

Open-11186.65--High-11231.90—Low-11142.05—Close-11214.05 on 7.8.20203

Support:11171.55/11158/11114/11056.55/10991/10894.05/10882/10847.85/10676.55/10583.65/10562.90.

Resistance:11239.80/11270/11341.40/11378/11447.

Critical Points moving down:-11171.55---11158---11114---11056---10991

Critical Points moving up: -11239.80---11270---11341---11378---11447.

 (Bold and underlined figures are most important)

It is still above its important point of 11158(it can change) but yet to move above its critical point or the acceleration point of 11240 & 11270. Please note that it will pick up momentum once it closes above 11270 and sustain on the closing basis. Therefore the short trading range for now is between 11158----11270 and the broad trading range would be 11158---11378---11447.It is important to mention here that in the recent past it has tried to cross its critical point of11240---11270 many times but failed, so if it has the strength it should cross these points in next 3-4 trading session else chances of breaking important point of 11158 will enhance and break below this mark can push it back into the correction mode. Technical setup looks o.k. for the up move as of now.   

In view of the above observation long trade can be tried on decline but not below 11158 or can be tried if it moves and maintain at least above 11240 for some time. Short trade can also be attempted if it breaks 11158 levels and sustain below it for some time or attempt it after a reasonable rise in the appropriate range for taking advantage of the possible corrective move.

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.

TRADING STRATEGY

1. Buy on decline but not below 11158 with a stop loss of 11130.

Or

Buy if it moves and maintain above 11240 for some time with a stop loss of 11205.It could be a risky trade.

2. Sell on the rise near or within the range of 11300---11350 with a stop loss of 11390.It could be a risky trade but worth trying.

Or

Sell if it maintains below 11158 or fall below it at any point of time during the day and stay below it for some time with a stop loss of 11220. It could be a risky trade but worth trying.

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 are of spot market.

 

Contact me for strategic guidance to enter and exit trade.

 

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

 

A TECHNICAL VIEW ON CNX--BANK NIFTY FOR –10.8.2020

 

CNX--BANK NIFTY

Open-21620.25--High-21787.25--Low-21451.30—Close-21754 on 7.8.2020

Support:21611.40/21546/21536/21462.40/21122.10/21031.45/21026/20926/20501/20324.

Resistance:21768/21807/21865/21967/22378/22418/22479.85/23080.60.

Critical Points moving up: 21865---22122----22378---22418---22479.85---22697.

Critical Points moving down: - 21536---21464---21375---21027---20926.

(Bold and underlined figures are most important)

It is holding its critical point of 21537 & 21546(it can change)  good sign and if it continues to holds these points then the up move may continue off course with intermittent correction. Moving up it will face resistance at 21864—21936---22121---22378---22697---22775 levels and it may gain some strength for the up momentum if it moves and maintain above 21936. Please note that sustained break below its critical points of 21537 & 21546(it can change) levels can push it into corrective mode again.

 In view of the above observation long trade can be tried on decline but not below 21537 or can be tried if it moves and maintain at least above 21936 for some time. The technical setup is not that strong as of now in comparison with Nifty-50, therefore traders should be extremely alert and cautious in the long trade. Short trade can also be attempted if it breaks 21537 levels and sustain below it for some time or attempt it after a reasonable rise in the appropriate range for taking advantage of the possible corrective move.

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.

TRADING STRATEGY

1. Buy on decline but not below 21537 with a stop loss of 21430.

Or

Buy if moves and maintains above 21936 for some time with a stop loss of 21840.It could be a risky trade but worth trying.

 

2. Sell if it moves below 21537 and maintain for some time with a stop loss of 21650.

Or

Sell on the rise near or within the range of 22250---22450 with a stop loss of 22550. It could be a risky trade but worth trying.

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 are of spot market.

 

Contact me for strategic guidance to enter and exit trade.

 

Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

A TECHNICAL UPDATE ON MOTHERSON SUMI SYSTEM LTD–7.8.2020

MOTHERSON SUMI SYSTEM LTD

Closed at Rs.99.95 on 6.8.2020

Support:92.65/91.10/90/86.25/77.10/72/70.65/54.20/50.95/48.65.

Resistance:101.75/104.30/106.20/111.65/115.70/118.50/121.40/125.60/128.35/139/147.50/151.

Critical Points moving down:-91---70----60----48.65.

Critical Points moving up: -106.20----118.50----128.35---139---151.

 (Bold and underlined figures are most important)

It is not on a very strong footing technically, furthermore it has perfect Head & Shoulder formation on the monthly chart and the neckline is at 91 and if breaches this mark and sustain on the closing basis then it could fall sharply, which may please be noted. However now it is moving sideways and consolidating in the range of 91---106.20 and breakout on the either side will decide whether it will move up or down. Short term parameter seems o.k. at this point of time therefore upside breakout looks a distinct possibility.

Since it is range bound now therefore those investor who are already having it should hold it with a stop loss of 86  and those who wish to invest a fresh can buy near 91 but not below it with the same stop loss of 86. Please note that it may pick up strong up momentum only once it crosses 106.20 marks and sustain on the closing basis. Therefore for traders it is suggested to initiate long position only if it sustain above 106.20 on the closing basis with a stop loss of 103.50.

NOTE: - It is the technical assessment of the stock as of now, the technical interpretation changes with the price movement and time, therefore investors are advised to look into fundamental, financial details of the company and last but not the least management perception for the future of the company before taking investment decision.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

 

A TECHNICAL VIEW ON CNX-NIFTY FOR –7.8.2020

CNX-NIFTY

Open-11185.70--High-11256.80—Low-11127.30.05—Close-11200.15 on 6.8.20203

Support:11171.55/11158/11114/11056.55/10991/10894.05/10882/10847.85/10676.55/10583.65/10562.90.

Resistance:11239.80/11270/11341.40/11378/11447.

Critical Points moving down:-11171.55---11158---11114---11056---10991

Critical Points moving up: -11239.80---11270---11341---11378---11447.

 (Bold and underlined figures are most important)

It closed above its critical point of 11158 today and if it holds this level it could continue the up move off with intermittent correction, but it will pick up strong up momentum only if it moves and sustain above 11240 & 11270 on the closing basis which may please be noted. Apart from these two points moving up it will face stiff resistance at 11341----11378---11447 levels and sustained close above 11447 level only can take it higher to near its all time high of 12430.50 or beyond. Looking at last 2-3 days trading movement, I still feel that holding its critical level of 11158 looks slightly dicey at this point of time, so watch out. Please note that sustained break below this level can push it into corrective mode again.

Since it closed above its critical point of 11158, therefore long trade can be tried on decline but not below 11158 in any case. Short trade can also be attempted if it breaks 11158 levels and sustain below it or attempt it after a reasonable rise in the appropriate range for taking advantage of the possible corrective move.

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.

TRADING STRATEGY

1. Buy on decline but not below 11158 with a stop loss of 11120.

2. Sell on the rise near or within the range of 11280---11330 with a stop loss of 11380.

Or

Sell if it maintains below 11158 or fall below it at any point of time during the day and stay below it for some time with a stop loss of 11210. It could be a risky trade but worth trying.

Or

Sell if it moves and maintain below 11120 for some time with a stop loss of 11175.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

 

A TECHNICAL VIEW ON CNX--BANK NIFTY FOR –7.8.2020

CNX--BANK NIFTY

Open-21644.25--High-21926.55--Low-21370.30—Close-21642.60 on 6.8.2020

Support:21611.40/21546/21536/21462.40/21122.10/21031.45/21026/20926/20501/20324.

Resistance:21768/21807/21865/21967/22378/22418/22479.85/23080.60.

Critical Points moving up: 21865---22122----22378---22418---22479.85.

Critical Points moving down: - 21536---21464---21375---21027---20926.

(Bold and underlined figures are most important)

It closed above its critical point of 21537 & 21546(it can change) today and if it holds these points then the up move may continue off course with intermittent correction. Moving up it will face resistance at 21864—21936---21121---22378 levels and it may exhaust or take a breather by correcting at any of these points before deciding the further direction. Looking at last 2-3 days trading movement, I still feel that holding its critical level of 21537 & 21546(it can change) looks slightly dicey at this point of time, so watch out. Please note that sustained break below these levels can push it into corrective mode again.

Since it closed above its critical points of 21537 & 21546 therefore long trade can be tried on decline but not below 21546 in any case. Short trade can also be attempted if it breaks 21537 levels and sustain below it or attempt it after a reasonable rise in the appropriate range for taking advantage of the possible corrective move because it seems that this up move may not last long.

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.

TRADING STRATEGY

1. Buy on decline but not below 21546 with a stop loss of 21400.

2. Sell if it moves below 21536 and maintain for some time with a stop loss of 21650.

Or

Sell on the rise near or within the range of 21950---22200 with a stop loss of 22300. It could be a risky trade but worth trying.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.

 

A TECHNICAL VIEW ON CNX-NIFTY FOR –6.8.2020

CNX-NIFTY

Open-11155.75--High-11225.65—Low-11064.05—Close-11101.65 on 5.8.20203

Support:11090/11056.55/10991/10894.05/10882/10847.85/10676.55/10583.65/10562.90.

Resistance:11114/11118/11158/11171.55/11239.80/11270/11341.40/11447.

Critical Points moving down:-11056---10991----10950---10880---10860---10746---10718.

Critical Points moving up: -11114---11158----11171.55---11239.80---11270---11341---11447.

 (Bold and underlined figures are most important)

It opened with an up gap at 11155.75 and made a high of 11225.60 and then plunged down sharply and made a low of 11064.05 and finally closed with a small gain of 6.40 points. Today’s move indicate that yesterday strong up move was a well-engineered one because had it been a genuine move then it would have seen a good follow on up move today on the closing basis, therefore todays move somewhat shows inherent weakness in it. However it is moving in a range of 10991---11158---11240 now and as long as it holds 10991 on the closing basis it could oscillate in the said range, only sustained close above 11158 will indicate that it could move up in a steady manner but it will pick up strong up momentum only if it moves and maintain above 11240 & 11270 on the closing basis, which seems less likely to happen as of now. Similarly sustained break below 10991 may accelerate the down slide.

In view of the above observation the present up move it not giving enough confidence because it is not sustaining above its critical points on the closing basis, but it has not given an apparent weak indication either, therefore long trade can only be tried if it maintains above 11158 on the closing basis. It means long trade is a complete avoid for the day. Since price movement is exhibiting weakness and the erratic and volatile move in it may end the up rally at any time, therefore till it closes above 11158 short trade can be attempted on the rise in the appropriate range or on the price breakdown for taking advantage of corrective move or may be for a possible rally breakdown advantage.

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.

TRADING STRATEGY

1. Sell on the rise near or within the range of 11240---11300 with a stop loss of 11360.

Or

Sell near if it does not move beyond 11158 or fall below it at any point of time during the day and stay below it for some time with a stop loss of 11190. It could be a risky trade but worth trying.

Or

Sell if it moves and maintain below 11056 for some time with a stop loss of 11115.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 Thanks 

Narendra Kumar Surana

suranank@gmail.com

Mobile—8240951127/9831313654.