Open-35575.65--High-36316.40--Low—35519.25—Close-35802.50
on 4.3.2021
Support:35648/35584.60/35428.15/35379/32842.30/32718.75/31725.85/31650.90/31510.25/30945.20/30893.65/30197.85/29687.70
Resistance: 35815.75/25884/36086/36397/36615.20/36647/36897/37170/37284/37708.25/38286/38520.
(Bold and underlined figures are most
important)
It was on a slightly weak footing therefore after yesterdays robust up move it lost steam today and exhibited wild swing both ways and finally ended the day with a loss of 565.55 points. Please note that this kind of volatility is not good for a steady up move. Please note that its critical and most important points for the year 2021 are 32613.10---32465.45---31297.30 & 31264.05 and it is well above these points now and as long as it hold these points on the closing basis uptrend will remain intact. Its other key points are placed at 36031---35815.75---35648---33625---32612.92(figures can change). ). It has decisively gone below its 1st key point of 36031 and shade below the 2nd key point of 35815.75 today therefore it is still in very short corrective mode Please note that sustained close below 35648 can push it again in the deep short term correction mode, sustained break below 33625 will push it into medium term correction mode and it can last even longer and most importantly sustained break below 32612.92 on the closing basis can push it into long term correction mode and can potentially threaten the uptrend also which may please be noted.
It is in the pullback mode but still in corrective phase too,
please note that it can come out of corrective mode if it moves and sustain
above 36718, since it is below its
first 2 key points mentioned above and
sustained break below 35379 can end
this pullback rally effort and fresh down move may begin which may please be
noted. Therefore the range for now is 36718---36031---35379(figures
can change) and breakout on the either side will decide the further
direction. Moving up this rally can extend up to 36989---37100---37232.20---37708.75---37932---38215---38539---38822, please
note that sustained close above 36718
may help it to pick up momentum and sustained close above 37100 will ensure that it may retest its all time high of 37708.75 or may go beyond also. Similarly moving down it can find support at 35815.75---35768---35648---35556---35334---35018---34644.
Please note that the short term technical setup is getting jolt from time to
time but the long term setup is still o.k.
In view of the above observation and today’s price movement
it is suggested that safe traders should avoid long trade till it closes above 36718 and sustain. However aggressive
traders can try long trade if it moves above 36031 or 36370 and
maintain for some time, please note that trying long trade above 36370 could be relatively safe, avoid
buy on decline for the day. Since it
is still in corrective phase therefore short trade can be tried after a
reasonable rise in the appropriate range or on the price breakdown for taking
advantage of the intraday down correction or otherwise but with extreme
alertness and caution because the long term technical setup is still o.k. as of
now.
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 36031 or 36370 for some
time with a stop loss of 35780 & 36250. It is for aggressive traders and
could be a risky trade.
2. Sell if it maintains below 35519 for some time
with a stop loss of 35650. It could be a risky trade but worth trying for
intraday correction.
Or
Sell near if it does not
move above 36455 in first two hours of trade even in intraday with a stop loss
of 36550. It could be a risky trade but worth trying for intraday correction.
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.
