Open-11248.90--High-11267.10—Low-11144.50---Close-11247.10
on 17.8.20203
Support:11239.80/11171.55/11111.45/11056.55/10894.05/10882/10847.85/10583.65/10562.90.
Resistance:11270/11341.40/11378/11447.
Critical Points moving down: -11239.80---11182.27---11111.45---11056---10990---10940---10872----10725.
Critical Points moving up: -11239.80---11270---11341.40---11378---11447.
(Bold
and underlined figures are most important)
It managed to close above its rising trend line which was
at 11203 for the day and it is at 11225 for 18.8.2020, Please note that the trend line will be rising at faster
pace as days goes by, therefore to keep it above the trend line it has to move
up faster in coming days else chances of breakdown would be there. Moving up it
will face stiff resistance at 11270---11341.40---11378---11447
levels. Please note that despite various attempts it has not been able to sustain
above the levels of 11270---11341.40---11378
on the closing basis in the recent past, so it is very important hurdle range
which it has to cross to keep the up momentum going and finally it will catch
up real strong up momentum once it crosses 11447
levels and sustain above it on the closing basis then it could retest its
previous top of 12430.50 or may go
beyond it. The overall technical setup is o.k. for the up move but trend line
faster rise is posing some threat to the uptrend as of now.
In view of the above observation, since it has bounced back
above the trend line today and if it keeps on respecting it then this up move
should continue, chances of which looks slightly slim at this point of time.
Therefore, for safe trader’s long trade can only be tried if it moves and
sustain above 11270 on the closing basis. However aggressive
traders can try long trade if it maintains above 11270 during the day for reasonable period of time or buy on
decline near but not below 11225.
Short trade can be attempted on the rise in the appropriate range or on the
price breakdown to take advantage of the correction or may be for a 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. Buy on decline near 11225 but not below it with a stop loss
of 11170.
Or
Buy if it moves and maintains above 11270 for some time with a
stop loss of 11210. It could be a risky trade.
2. Sell on the rise near or within the range of 11350---11420 with a
stop loss of 11470.It could be a risky trade but worth trying.
Or
Sell if it falls below 11170 and maintain below it for some time
with a stop loss of 11250. 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
Mobile—8240951127/9831313654.
