CNX-NIFTY
Open—24311.90—High—24589.15---Low---24238.50---Close---24346.70 on 2.5.2025.
Support:24141.80/24099.70/24094.20/24073.90/23938.85/23893.70/23873.35/23869.65/23816.15/23807.30/23667.20/23664/23644.80/23637.65/23484.15/23537/23426.30/23391.65/23338.70/23263.15/23110.80/23049.95/23047.25/22976.85/22794.70/22786.90/22775.70/22768.40/22676.75/22625.30/22577.40/22546/22525.65/22502/22314.70/22303.80/22281/22165/22124.70/22104.85/21964.60/21875.25/21860.65/21821.05/21777.65/21710.20/21530.20/21448.65/21281.45/21137.20/21021.88/20976.80/20769.50/20291.50/20222.45/19991.85/19839/19333.60.
Resistance:24354.55/24472.80/24498.20/24537.60/24589.15/24694.35/24753.15/24792.3024854.80/24857.75/25078.30/25234.05/25285.55/25333.65/25445.70/25871.35/26277.35/26328/26995/27095/27212/27293/27381.
OVERALL VIEW
ON THE DAILY CHART:
--
It opened on a negative note and thereafter
had both side moves, please note that it went up much higher during the day but
could not sustain at the upper level and finally, ended the day with a small gain
of 12.50 points, today’s movement indicates some
weakness but overall it is still looking good for the up-move, so watch out how
it pans-out in the next few days. It is important to mention here that it has
other recent unfilled gaps (gap points are 22923, 22468 & 22254)
also on the downside, which is still a huge concern, so, be cautious. Please
note that it is often exhibiting volatility, which is not a good sign for a
steady market.
The technical setup looks good for the
continuation of the up-move. But it is important to mention here that in view
of the recent vertical rise, previous unfilled gaps, negative divergence and
the deep overbought zone it seems that the correction it did so far is not
enough and the price-wise correction is still not complete, therefore fear of a
sharp down move cannot be ruled out in coming times, so, be extremely alert and
vigilant in the long trade. Furthermore it slipped into very short & short
correction mode now for its recent rise as it is below its threshold points of 24497.02
& 24412.20(figure may change)and if it moves below 24276.53 and
sustain below it on the closing basis then it could break its recent bottom of 24198.75
and may go beyond it also. However as long as it holds 24334.25 &
24311.90 on the closing basis then the hope of up-move will be there in the
month of May-2025, but break & sustained close below it will be an
alert sign and then moving down if it holds its critical range of 24235---24226----24176(some
figure may change), then the up-move is likely to continue, but break &
sustained close below this range can drag it down and then it will find support
at 23917.61(figure may change), this is a deep correction threshold
point for its recent rise, break below this will push it into deep correction
mode and then moving down it will find its most important & critical
support in the range of 23893.70----23869.65—23807.30
, it is a very strong bounce back support range and if it holds this range then
the chances of resuming the up-move will be alive, but break & sustained
close below this range may trigger fresh fall and then comes its most
critical support point of 23644.80
& 23637.65, please note that to keep the hope alive for a good up-move
in the year 2025 it has to stay above these points on the closing basis.
It is a strong bounce back range. But break & sustained close below these
points may dampen the hope of a continued up-move and finally it may find last
critical support in the range 23562---23502---23442---23380---23314(some
figures will change daily), it can bounce back from this range, but break
& sustained close below this range may end the up-move for a while and it
may witness an accelerated fall and to top it all long term uptrend would be in
jeopardy then.
Moving up the key resistance points could
be at 24403----24545---24578----24753.15---24934----24858----25207---25287----25371---25465---25996(some
figures may change daily). It can correct at any of these points then may
resume the up- move or rally may fizzle out also, but if it moves above 24753.15
on the closing basis then it may get back into the strong up-momentum track and
finally if it moves above 25371 and sustain on the closing basis then it
could retest its ultimate top of 26277.35 or may go beyond it also.
IMPORTANT NOTE:
SUSTAINED CLOSE ABOVE 24235 ON THE CLOSING BASIS CAN TAKE IT UP TO 24857 LEVELS
OR BEYOND.
TECHNICAL INDICATORS PLACEMENT ON THE
DAILY CHART;-
It has higher top & bottom on the line
& bar chart both, it is above all its short, medium and long term moving
averages on the daily, weekly and monthly chart. Furthermore most of the
important indicators are positive now and in the buy mode, but it has negative
divergence, vertical rise, unfilled gaps and overbought zone is a deep concern,
therefore it may correct
at times. The overall setup is looking good for extension of the up-move as
long as it holds the critical points mentioned above. Therefore it is suggested
to keep an eye on the critical resistance & support points and price action
for the further directional indication.
TECHNICAL
INDICATORS PLACEMENT ON THE WEEKLY & MONTHLY CHART:-
On the weekly chart important indicators
such as MACD/ ADX& PS is in the buy mode, RSI has positive divergence, but
it is in the deep overbought zone, so it can correct at times. On the monthly
chart it is in overbought zone and with huge negative divergence and with MACD
in the sell mode. Therefore, all together indicators on the weekly chart seems
positive but on the monthly chart it is not yet out of woods and further fall may
be on the horizon in coming weeks
or months.
IT
IS BUY ON DECLINE MARKET AS OF NOW;-
It is
into deep correction mode for its earlier rise, but it is above its pullback
threshold points, therefore it is buy on decline market now till it holds the
range of 24235---24226----24176 and finally the range of 23894---23807 on the closing basis, but short
trade can also be tried after reasonable rise or near critical resistance
points with strict stop loss, for intraday corrective gains.
STRENGTH:-
1. It is making higher top &
bottom on the line & bar chart.
2. It is way above its short,
medium & long pullback threshold point for its earlier fall 22245---22479 & 22814 (figure may change), sustained close above it may help it to extend the up-move.
3. It is above all its short-term
moving averages now on the daily chart and the important average range for day
is between 24270----24210----24099----23889---23783---23572(figure will change every day), sustained close above this range may help
it to extend up-move.
4. Most of the technical
indicators are positive and in the buy mode.
5. It is above its major long
term rising trend line which is placed at 23502
for the month of May-2025, it is a
very good sign.
6 It is above its deep correction
threshold point of 23917.61(figure may
change) for its recent rise, sustained close above it will exhibit the
strength in it.
7. It is above its most critical
points of 23637.65 & 23644.80, please note that it must stay
above these points to keep up the up momentum going in the year 2025, else it will start to drift down.
8. It is above its most critical
or second make or break bottom of 23893.70, sustained close above it will enhance the chances of extending the
up-move.
9 It is above its top long-term
moving averages which is placed at 24176 (figure
will change every day) for the day, close above this point is a positive
sing for the up-move.
10. It is way above its major long
term rising trend line on the daily chart which is placed at 23380(figure will change every day) for
the day.
11. The price action was positive today.
WEAKNESS: -.
1. Volatility and wild swing can
be seen in the market quite often, which is not a good sign for a steady market
condition and it can eventually drag it down may be drastically in the coming
days/weeks and months. So be watchful.
2. Technical indicator is showing negative divergence and in the
overbought zone, so, it may correct at times.
3. It is still way below its
first make or break bottom of 24753.15,
if it moves above it and sustain on the closing basis then it may get back on
the strong up-momentum track.
4. It
is into very short & short correction mode now as it is below its threshold
points of 24497.02 &
24412.20(figures may change), if it sustains below it on the closing basis
then the down move may continue.
TRADING CALL: --
1. Long
trade can be tried on decline near or within the range of 24235---24226----24176
but not below it with a stop loss of 24040 for a possible intraday gain, else
avoid.
2. Short trade can be tried on the rise near or within the range of 24560---24600
with a stop loss of 24670 or can sell if it moves below 24310
and maintain for some time with a stop loss of 24390. It could be a risky trade but can be
tried 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 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.
Thanks
Narendra Kumar Surana
Mobile—8240951127/9831313654.
Email--- suranank@gmail.com
