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CNX-BANK NIFTY
Open—48586.75--High—48716.95-Low—48424.65---Close—48581.70 on
8.4.2024.
Support: 48381.95/48305.40/48292.25/48219.95/48203.45/48166.15/48161.25/47795/47588/47481.35/47363.40/47259.85/47191.65/47010.80/46919.70/46892.35/46886.90/46529.05/46507.15/46426.85/46369.50/46310.10/46181.20/45905.85/45828.80/45661.75/45655.50/
45430.70/44949.90/44633.85/44612/44547.80/44429/43830.75/43796.75/43600.35/43345.95/43230.95/42582.20/42105.40.
Resistance: 48636.45/48722/48925/49024/49567.60/49696/49857/50324/50633.60/50850.
(Bold and underlined
figures are most important)
It opened with an up gap and went up further
and hit a new all-time high of 48716.95 and filled the today’s gap during
the day and finally ended the day with a gain of 88.65 points. It
is showing good strength and further up move is likely to continue. But the gap
it created 4.4.2024 is still there and if it makes an effort to fill the
gap in next 2-3 trading sessions, which is technically possible then it
can come down to 47676. But if it fails to fill the gap in the
stipulated time then chances of filling the gap will recede. The volatility is
continuing which is not a good sign for a steady market and eventually it can
drag it down in coming days/weeks & months, however as long as price action
and other parameters supports it may continue to show upside from time to time
but fear of moving down may haunt because of the volatility, which please keep
in mind.
It is important to mention here that its critical & important points are 48203.45---48292.25
& 48636.45 and to keep up the up momentum going on in the year 2024 it must
sustain above these points on the closing basis. It has been below all these
points for a long time, but now it is well above its two critical points of 48203.45
& 48292.25 (it did go beyond its last critical point of 48636.45
intraday and hit a new high but closed below it)which is a very positive sign
and if it sustains above it on the closing basis then it can move much
higher.
Moving up from here its broad resistance
points could be at 48636.45----48722---48925----49024---49567.60(figures may change) and for in between
and other resistance points please refer the resistance table at the top.
Please note that it may correct at any of these points and then may resume the
up move again or may exhaust the up rally for a while.
Similarly moving down further from here the
broad support points could be at 48377.78---48292.25----48255.89---48203.45---48167.96---48035.35----47998.38---47828.79---47795-----47705----47695---47610----47617---47571.37----47387—47366----47328.78—47279.80---47270.25----47201----47029.20---46995-----46949.45---46825---46720---46635----46533---46444---46379.26---(Figure may change) and for in between and other support points
please refer the support table at the top. Please note that it may bounce back
from any of these points. But sustained break 48377.78 will push it into
very short correction mode for its recent rise, sustained break below 48292.25----48203.45
may dampen the up move , break below 48035.35 will weaken it further, sustained
break below 47705 will further deepen the correction, break below the
range of 47387---47366---47201---47157 may trigger fresh fall, thereafter break
below each point will weaken it.
It is important to mention here all the five
important technical indicators are positive now on the daily chart, which is a
positive sign and indicates further upside may be ahead. But two important
indicators on the weekly and two indicators on the monthly chart is negative
pointing that it could head down in coming weeks/months, but weekly indicators
have improved from the previous week which is good sign, but ,volatility &
some weak weekly & monthly indicator is a concern. However, on the other
parameters it looks very good such as moving average placement, making higher
top & bottom and price action has been consistently good and positive, therefore
if the other parameters remain good the up move is likely to continue with in
between correction. But I once again repeat that some weekly & monthly indicators
speak otherwise at this point of time, so ride the on-going rise with caution
and alert. It is in the long-term uptrend; therefore it is buying on decline
market now.
TRADING TIPS: --
1. Long trade can be tried on decline near or within the range of 48380----48293
with a stop loss of 48150 or if it moves above 48640 and
maintain for some time with a stop loss of 48480.
2. It is in
the long term uptrend therefore short trade in general could be a highly risky
affair; but even then short trade can be attempted on reasonable rise or on
price breakdown for intraday corrective gains but with extreme caution and
alert. Short trade can be tried on the rise near or within the range of 48875—48950
with a stop loss of 49100. It could be a risky trade but worth
trying for intraday corrective gains.
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.
Thanks
Narendra Kumar Surana
Email—suranank@gmail.com
Mobile—8240951127/9831313654.
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