Open—12556.40--High—12643.90—Low—12475.25---Close-12631.10
on 10.11.2020.
Support:12430.50/12328/12294/12283/12246.70/12178/12159/12103.05/12041.15/12025.45/11981.75/11929.60/11841.30/11832.30/11803/11794.25/11775.75/11761/11661/11633/11618.10/11614/11584/11535.45/11507.65/11490.75/11460.35/11447/11373.60/11341.4011305.60/11270/11242.65.
Resistance: 12770/12818/13419/13640/13779.
(Bold and underlined
figures are most important)
It has been exhibiting
tremendous strength and continuously moving up and this up move may continue
with in between down correction and it may scale highs in coming days, provided
it respect its key points mentioned below.
But the concern is that it has not filled the gap it created on 5.11.2020 and if it makes an attempt to
fill the gap in next 1 days time
which is technically possible then it could come down to 11929 which may be kept in mind. However if it does not fill the
gap in next 1 day then concern for
filling this gap may be over for the time being. It has created another gap on 9.11.2020 also and similarly if it
makes an attempt to fill the gap in next 2-3
days time which is technically possible then it could come down to 12280 , but if did not fill the gap in
next 2-3 days then concern for
filling this gap may be over too for the time being. Therefore chances of it
coming down to 11929 cannot be ruled
out for the next 1 trading session
at least.
Furthermore it has had a vertical &
straight rise in the last seven days from 11557 points to 12643.90 intraday, so
correction looks imminent and can happen any time soon. Please note that now its key points are at 12382.30 & 12206.40(figures can change
with upward price movement) as long as it holds these key points on the
closing basis the ongoing up move will continue off course with intermittent
down correction on the closing basis, but sustained break below 12382.30 on the closing basis can push it into short term correction
mode and sustained break below 12206.40
can push it into slightly deeper correction. Moving down it may find support
at-12430.50---12382.30---12280---12206.40---12202.65---12168.45---12089---12025.45---11928.70.
The technical setup is strong enough as of
now, so even if it corrects it is likely to resume the up move again provided
it bounce back above its key points after correction is over and most
importantly move above its previous major top of 12430.50. Moving up it will face resistance at 12770---12818---13419---13640---13779. The bias is up as of now. I once again repeat that it is very strong
on the technical footing as of now but at the same time it is highly vulnerable
for correction also at this point of time.
It is most important to note
that it will face very tough resistance in the range of 12770—12818 and it
might make top in this range or earlier also for the time being or may be for
good for a reasonable period of time, which may please be noted, so be watchful
and alert in long trade in this range.
In view of the above observation long trade can be tried, if it moves and maintains above 12645 for some time or on the decline at appropriate points or near 12382 but not below it. Please note that long position can be tried above 12382 in any case for the day. Since it is showing robust strength for the continuation of the up move, therefore short trade should be avoided in general but can be attempted after a reasonable rise or on the price breakdown for taking advantage of possible intraday correction or may be for long correction at times.
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 if it moves and maintain above 12645 for some time with a
stop loss of 12600.
Or
Buy on decline at appropriate points or near 12382 with a stop
loss of 12340.
2. Sell on the rise near or within the range of 12770---12820
with a stop loss of 12850 It could be a risky trade but worth trying for
intraday corrective move.
Or
Sell if it moves and maintains below 12340 for
some time with a stop loss of 12400. 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
Mobile—8240951127/9831313654.
