CNX-NIFTY
Open-19446.30---High—19457.80--Low-19333.60--Close-19436.10
on 4.10.2023.
Support: 19421/19405/19361.75/19333.60/ 19303.60/19300/19296.45/19253.60/19223.65/18887.60/18646.70/18555.40/18464.55
Resistance: 19458.55/ 19465/19467.50/19482.75/19492.10/19563.10/19584.45/19615.95/ /19645.50/19657.50/ 19795.60/19867.55/19887.40/19901/19986.73/ 19991.85/20168/20184/20201/20222.45.
(Bold and
underlined figures are most important)
It is exhibiting tremendous weakness, it opened with a down gap and the plunged
down but in the later half of the day it staged a sharp bounce back but finally
ended the day with a loss of 92.65 points. It is already into short term correction mode for its recent rise.
It is below some of its short and medium term moving averages on the daily
chart and below some short term averages on the weekly chart also which is a
weak sign and indicates that further fall may be ahead with in between short
relief rallies. Please note that to get into meaningful pullback mode it has to
close above 19544(figure may change) and sustain on the closing basis
then there is a hope that the up move may extend but it can have very short
pullback up move or relief rally if it holds the threshold point of 19436(figure
may change), else down move may continue. But to get into strong up
momentum track it has to close above 19790 & 19991.85 and
then above 20045(this figure may change) and sustain on the closing
basis. The short term technical setup is already, furthermore on the daily
chart all the five important indicators are negative now therefore down move is
likely to continue, few indicators on the weekly and monthly chart are also negative
as of now. Please
note that weak indicators with weak price action are a deadly combination and it
can pull it down sharply and the price action has been weak since 18.9.2023 and
it was terribly weak today. It is therefore suggested to keep an eye on the
price action and look for higher highs & lows for at least 2-3 days in a
row then the trend may reverse, else down move may continue, so watch out price
action. It is into short correction mode now but the long
term trend is up.
Kindly note
that moving down from here its strong support points would be 19421(figure
may change) break below 19421 will push it into deep medium term
corrective mode and it may slide down further and then the next strong support
range would be between 19300—19255---19234---19223.60.
It is important to mention here that sustained break below 19223.60 on the
closing basis will trigger fresh fall and it may witness an accelerated down move
and most importantly it could be trend threatening also, which may please be
noted.
Moving up
from here it may face resistance at 19499---19544---19601---19673---19680---19778---19883---19986.73---19991.85---20013----20045---20201---20222.45(figure
may change), Please note that it may correct at any of these points and then may
resume the up move again or rally may exhaust also.
IMPORTANT NOTE: -
It is into short correction mode, therefore it is sell on the rise market now
till it closes above 19991.85 and sustain. Please note that long trade could be
risky affair till correction is on but can be tried intraday at critical
support points for pullback gains only. It can get out of correction once it
closes above 19986.73 and sustain. Long trade below 19405 could be a risky bet
for the day.
TRADING TIPS:--
1. Safe traders should avoid long trade till correction completion sign
emerges or it closes above its pullback threshold point of 19544 at
least and sustains. But aggressive traders can try long trade if it moves above
19460 with a stop loss of 19400 or on sharp decline near or
within the range of 19300---19230 with a stop loss of 19180.
2. It is into the long term uptrend therefore short trade in general could
be a risky affair, but in correction mode now, therefore short trade can be
attempted but with extreme caution and care on the reasonable rise or on the
price breakdown for intraday corrective gains. Short trade can be tried on the
rise near or within the range of 19540---19560 with a stop loss of 19600
or sell if it moves below19405 with a stop loss of 19470.
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 favourable 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.
for strategic
guidance to enter and exit trade.
Thanks
Narendra Kumar Surana
Mobile—8240951127/9831313654.
Email---
suranank@gmail.com
