Open—18272.85--High—18350.75—Low—18248.70---Close-18338.55
on 14.10.2021.
Support:18254/18197.80/18081/17971/17947.65/17920/17840/17792.95/7756/17700/17613/17576.10/17452.90/17436.50/17326.10/17254.20/17055/16701.85/16656.60/16376.05/16349.45/16162.55/15962.25.
Resistance: -18350.75/18550/19303.70/19575/20390.09.
(Bold and underlined
figures are most important)
It is exhibiting an extra ordinary
strength in the up move and closed with a gain of 176.80 points today, which is a
positive sign. But it is important to mention here that it has been rising for
the last 6 days in a row and for the
last 2 days, it has been opening
with an up gap and those gaps are remain unfilled, therefore on 18.10.2021 if it opens up with an up
gap i.e. above 18350.75 and then
slips below it and sustain then there is a distinct possibility that it could correct,
therefore it is suggested to be alert in the long trade if it behaves as
envisaged. However as long as it holds the range of 18138.86---18109---18092 on the
closing basis then the up move should continue with intermittent correction. It
is in strong uptrend now. Moving up from here its upside target point or stiff
resistance points could be at 18351---18550---18750(figures may change) and it
could react from any of these points and then may resume the uptrend again or
may break down also which may please be noted. Similarly moving down its
critical support points could be at 18197.50---18138.86---18109---18092---17947.65---17884.72---17834---17814---17792.95---17733---17718---17650---17681---17666---17452(figure
may change), it may bounce back from any of these points, break below the
range of 18138.86---18109---18092,will
push it into very short term correction mode, break below 17814---17733 & 17650 will weaken it further and push it
into short term correction mode,
sustained break below 17452 on the closing basis will indicate that the on-going
uptrend may be in jeopardy. Most importantly please note that its last lair of
solid support range is 17434---17386---17305(figures
will change every day) sustained break below this range on the closing
basis could push it into deep short term or medium term correction mode.
It is important to mention here that its
long term technical setup is strong and good for the
uptrend to continue. The short term bias is also positive as of now.
Furthermore except for one other important technical indicator have also turned
positive which may accelerate the up momentum in coming days. I would like to
caution here that although it is on a very sound technical footing and further
rise is indicated, but with every rise in it the risk element is also increasing,
so be alert and careful in your long commitments.
In view of the above observation, it
is suggested to watch the market for some time and if it opens gap up as
mentioned above avoid long trade, but can try long trade if it remains above 18351 for quite some time, safe traders
should avoid buy on decline for the day. However aggressive traders can also
try buy on decline at appropriate points or near 18140 but not below it.
Please note that long trade below 18351 could be a risky affair for the day.
It is in the long term uptrend but correction always happens, therefore short
trade can also be attempted on the rise and at appropriate point or can be
tried on the price breakdown for taking advantage of the intraday gains. But
please be extra careful in short trade because it is in a strong uptrend. Please
be extra alert in the short trade because it is in strong uptrend.
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 if it moves above 18351 and maintain for some time say
one hour with a stop loss of 18320. It is for both the traders.
Or
Buy on decline at appropriate point or near 18140 but not below
it with a stop loss of 18040. It is for the aggressive traders and could be a
risky trade.
2. Sell on the rise near or
within the range of 18410---18450 with a stop loss of 1850. It could be a highly
risky trade but worth trying for intraday gain.
Or
Sell if it moves below 18320
and maintain for some with a stop loss of 18360. It could be a highly risky
trade but worth trying for intraday gain.
Or
Sell if it moves below
18248 and maintain for some with a stop loss of 18360. 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
Mobile—8240951127/9831313654.
