CNX-BANK NIFTY
Open---44322.05---High—44563.05---Low---44203.70---Close—44287.95 on 13.10.2023.
Support:44279.40/44254/44207.25/44182.50/44151.80/43950/ 43862/43830.75/43706.15/43600.35/43519.55/43446/43345.95/43078.90/43038.25/42986.45/42582.20/41962
Resistance: 44459.25/44498.60/44547.80/44539/44566.30/44795/44949.60/45118.05/45238.80/45655.50
45782.75/45816/45893.80/46310.40/46369.50/46761/47063/47123/47284/47427/47755/48081/48198/48446/49139.
(Bold and underlined figures are most important)
It opened with a down gap and had both side movement during the day and
finally ended the day with a loss of 311.25 points. It is into deep short &
medium term correction mode for earlier rise and it went into short correction
mode today for its very recent rice as it is below its threshold point of 44495(figure may change). It is still
below some of its short & medium term moving averages on the daily and
weekly chart, furthermore it closed well below its meaningful pullback threshold point of 44390(figure may change),therefore
chances of continuation of up move is dampened, all together these factors
2 2
very
concerning and indicates further down move may
be ahead. Please note that till it holds 44254---44157.93 &44151.80 on
the closing basis then the chances of up move will still be alive, else it may
resume down move again. But to get into strong up momentum track it has to
close above 44720---44950---45816 & 45820(figures may change) and
sustain on the closing basis. Please note that sustained close above 44720
& 44950 may help it for a steady up move. The short term technical setup has got a jolt
today, but on the daily chart one out of five important indicators is positive
now therefore giving some ray of hope that it may resume the up move again, but
few indicators on the weekly chart are also showing weakness as of now. Please note that weak
indicators with weak price action are a deadly combination and it can pull it down
and the price action has been weak since 18.9.2023, after 3 days of
positive price action today’s price action was terribly bad as it closed below
the low of previous day, which is a weak sign. Please note that for a steady up
movement continuous positive price action is needed, else it may continue with
the down move. It is therefore suggested to keep an eye on the price action, so
watch out. Its long term uptrend is
intact as of now. The undertone is weak now.
Kindly note that moving down from here the key support points could be 44254---44157.93---44151.80---43600.35---43446---43345.90---43038.25---42986.45---42881(figure
may change) sustained break below 44254---44157.93 & 44151.80
may dampen the possibility of the up move to a great extent and may threaten
the long term uptrend as well. Break below 43600.35 will be an alert
point for further fall, sustained break below 43345.90 on the closing basis
will trigger fresh fall and it could be trend threatening also and finally
sustained break below 43038.25---42986.45 & 42909 may end the
possibility of a steady up move for a while and it may head for deep down move,
which please note.
Moving up from here it may face resistance at 44390---44539---44658---44757---44985---45054---45118---45311---45350---45671---45725---45782.75---45816---45885---46310.40---46369.50(some
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: -- technically it is on a weak footing
in comparison with CNX-Nifty at this point of time, so it may underperform.
TRADING TIPS:--
1. Safe traders should avoid long trade till visible sign of correction
completion emerges or it closes above 44390 at least. However aggressive
traders can try long trade if it holds the range of 44254---44151.80 for
some time with a stop loss of 44000 or can buy on decline near or within
the range of 43600---43345 with a stop loss of 43200.
2. It is
into the long term uptrend therefore short trade in general could be a risky
affair, but it is into deep short and medium 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 44550---44650
with a stop loss of 44750 or sell below 44100 with a stop loss of
44300.
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.
m for
strategic guidance to enter and exit trade.
Thanks
Narendra Kumar Surana
Email—suranank@gmail.com
Mobile—8240951127/9831313654.
