CNX-NIFTY
Open-17451.25--High—17644.75--Low-17427.70---Close-17594.35
on 3.3.2023.
Support: 17565/17493.55/17484/17452.90/17421.80/17405.55/17353.40/17342.10/17326.10/17306/17255.20/17166---17161/16950/16888/16836—833---809/16747.70.
Resistance: 17641/17652.55/17719.75/17761.40/17774.25/17795.55/17812/17916.80/17959.20/17972.20/17992/18016/18105.30/18114.65/18132/18141/18183.75/18210.15/18265.25/18350.95/18442.15/18473.35/18604.45/16696.10/18887.60.
(Bold and
underlined figures are most important)
It was very volatile and had a wild swings both ways during the week but
eventually ended the week on 3.3.2023 with a gain of 128.54 points.
It did break its long term moving average range once intraday but held it on
the closing basis, which has resulted in a good bounce back on the last day of
the week but it has to be seen whether it can build up on today’s gain or not
during the next week starting from 6.3.2023 because some important
technical indicators are still weak on the daily, weekly & monthly chart. So
if price action becomes weak it can drag it down fast, which may be kept in
mind.
It is into deep corrective mode and still within the range of its long
term moving average which is placed between 17868---17307(figures will change every day) for the day,
furthermore it is below some of its short & medium term moving average on
the daily chart and some are below on the weekly chart also, almost all
important technical indicators are still negative on the daily, weekly &
monthly which is concerning. However the most important thing is price action
and the price action was good today and it moved well above its short pullback
trigger point of 17463 and if hold
this mark then this up move can extend further, but it may have strong,
meaningful and lasting up move only if it moves above its major pullback
trigger point of 17641 and sustain
on the closing basis, else it may start to drift down again. The bias is
bearish as of now.
Moving down it will
find support at 17565---17537---17509---17463---17353.40---17306---17255.20---17175
(these points could be possible buying points also), break below 17463 may end the pullback rally, but please
note that 17306(lower band of the long
term moving average) , 17255.20(recent bottom) & 17175 is the last key
support for the time being, so it can bounce back from these two points as it
did this time, but sustained break below it could trigger fresh fall and
finally 16747.70 is the very
critical and most important support point and sustained break below it on the
closing basis may end the long term uptrend for a reasonable length of time and
fall may accelerate, which may be kept in mind.
Similarly moving up
it will find resistance at 17641---17695---17744---17799---17836---17879---17959---17992---18013---18032---18071---18105.30---18132(these
points could be possible sell point also), sustained move above 17641 on the closing basis may ensure
that the pullback up move may last, but as you are well aware that pullback
rallies are treacherous in nature and can end abruptly, so it can end at any of
these points or earlier also, therefore be alert and cautious in the long trade.
It is important to mention here that it has to move above 18132 and sustain on the closing basis to put it back on the strong
up track mode, which may please be noted.
In view of the above
observation the deep down correction is
on therefore it is a sell on the rise market or sell on the price breakdown in
general and for the safe traders it is suggested to avoid long trade till a
visible sign of correction completion emerges. However aggressive traders can
try long trade at important and critical support points for the pullback gains.
But be alert and extremely cautious in the long trade initiated for pullback
gains because it is in deep corrective mode and pullback rally can fizzle out
any time. Please do not trade without stop loss.
TRADING VIEW: - Long trade can be tried for
pullback gains if it moves above 17645 and maintain for some time with a stop
loss of 17580.
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.
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.
m for
strategic guidance to enter and exit trade.
Thanks
Narendra Kumar Surana
Mobile—8240951127/9831313654.
