CNX-NIFTY
Open—15712.50--High—15733.50—Low—15622.35---Close-15670.25
on 4.6.2021.
Support:15629.65/15606.55/15471/15431.75/15336.30/15273.15/15263/15257.10/15176.50/15051.60/14984.15/14888.80/14883.20/14753.55/14653.35/14595/14484.12/14467.75/14459.50/14350.10/14264.40/14248/14222.80/14151.40/14024.85/13996.11/13981.75.
Resistance: 15733.60/ 15780/15920/16223/16750/17250/17503/19575/20390.
(Bold and underlined
figures are most important)
It mildly corrected today and closed
with a small loss of 20.09 points. The
technical setup is looking good for the continuation of the up move but off
course with intermittent down correction and as long as it sustains above15471 & 15431.75 on the closing
basis, then it could scale up to 15780---15920---16223---16750---17250---17503---19575---20390
levels, but please note that it
could end the up rally for good at any of these points or earlier also or may
correct at any of these points and then may resume the rally again, both the
possibilities are there which may be kept in mind. Similarly
moving down its critical support points are at 15574.85---15471---15431.75---& 15360.12(this
figure can change), sustained break below 15574.85 will give a hint that
it could fall further, sustained break below 15471 on the closing basis will
signal further weakness in it, sustained break below 15431.75 will confirm the
weakness and sustained break 15360.12(this figure can change), will push it
into corrective mode and may threaten the uptrend also, which may please be
noted. Moving down other critical support levels will be at 15273---15257---15176---15111---15084---14977---14906---14884.
It is therefore strongly suggested to be
alert in long trade below 15574.85
and avoid long trade below 15471 and
below 15431.75 for sure. The bias is
positive as of now but looks slightly dicey may drift down also for the day.
It is
important to mention here that technically this on-going uptrend is showing enough
strength and looking good for the continuation of the up move but this up rally
is not in sync with the fundamentals and you are well aware that it is the
fundamentals which eventually hold the Priceline. Therefore this on-going up
rally may deceive you at any point of time, so be alert and careful in long
trade henceforth.
In view of the above observation for
safe traders long trade can be tried if it moves above 15735 and maintain for some time or can be tried on decline near 15606 but not below it. However
aggressive traders can try long trade if it moves above 15691 and maintain for some time or can try buy on decline at
appropriate points but not below 15471.
Please note that buying on decline below 15574
could be a risky trade because if it moves and sustain below it for longer time
during the day then it could correct sharply. Since it has not yet crossed some
of its critical averages, so short trade can also be tried after
reasonable rise or can be tried on the price breakdown for taking advantage of
the 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 (Suggested)
1. Buy on decline at appropriate points with self defined stop
losses or near 15471 or near 15431 but not below it with a stop loss of 15420. It
is for the aggressive traders and could be a highly risky trade.
Or
Buy if it moves above 15735 and maintain for some time with a
stop loss of 15665. It is for the safe traders.
Or
Buy if it moves above 15691 and maintain for some time with a
stop loss of 15650. It is for the aggressive traders.
Or
Buy on decline near 15606 but not below it with a stop loss of
15560. It is for both the traders.
2. Sell on the rise near or
within the range of 15800---15820 with a stop loss of 15850. It could be a
risky trade but worth trying for intraday gain.
Or
Sell if it does not move
above 15735 in first one hour of trade with a stop loss of 15760. It could be a
highly risky trade but worth trying.
Or
Sell if it moves below 15560
and maintain for some time with a stop loss of 15620. It could be a highly risky trade but worth trying
for intraday gain.
Or
Sell if it moves below
15606 and maintain for some time with a stop loss of 15640. It could be a highly risky trade but worth trying
for intraday gain.
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.
