A BROAD TECHNICAL VIEW ON CNX--BANK NIFTY FOR THE WEEK STARTING FROM- 26.5.2020

CNX--BANK NIFTY

Open-17554.25--High-17952.25--Low-17105—Close-17278.90 on 22.5.2020

 

Support:17286.40/17248.48/17143/17105/16826/16450/16193/16116.25/15879.55/15626/15440/15157/14853.

 

Resistance:17286.40/ 17400/17890/18175/18252.43/18941/18962.28/19051/19200/19635/19769/19881/19934/20010/20260/20514.75/20586.22/21122.10/21348.15/21462.40.

 

 (Bold and underlined figures are most important)

 

It opened with a down gap at 17554.25 and made a high of 17952 then slipped down sharply and made a low of 17105 and ended the day at 17278.90 with a loss of 456.19 points. It is exhibiting extreme weakness on the charts for quite some time which is a bad sign and indicates that down side may be wide open.

 

Although it is showing tremendous weakness on all technical parameters but it has important support at 17248 &17105, furthermore it has retraced more than 80% from the recent top of 21967 and bottom of 16116.25 and has taken support at its important points, so it may possibly stage a short up move from here before breaking these levels and retest or break the bottom of 16116.25. Moving up it will face very stiff resistance at 17400---17890---18175----18252.43. Kindly note that if it maintains above 17400 it could inch up higher but it will only gain some strength if it moves above 18175----18252.43 and sustain on the closing basis.

 

It is important to mention here that the long and short term trend both are down therefore for safe trader long trade is  a complete avoid as of now ,however aggressive trader who wish to take advantage of the possible short up move may try long trade but mind you it could be a  risky  affair. It is therefore suggested to adopt selling on the rise strategy till some strength is visible.  

 

TRADING STRATEGY     

1. Buy if it maintain above 17248 with a stop loss of below 17000. It could be a risky trade.

    

2. Sell on the rise in the range of 17890---18175----18260 with a stop loss of 18430.

Or

 Sell if it maintains below 17248 with a stop loss of 17400.

Or

Sell if it maintains below 17105 with a stop loss of 17300.

IMPORTANT NOTE:- The benchmark point as of now is 17248 and if it sustain below it on the closing basis then it will definitely break the bottom of 16116.25 and open the downside up to 13407 levels which may please be noted.

Remark: - The long term trend is down. It looks extremely weak technically; therefore long trade should be completely avoided by the safe trader but aggressive trade can try long trade as suggested above. Short trade seems to be a better option therefore should be attempted as suggested above. The long term bias is hugely bearish.    

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.

 

Contact me for strategic guidance to enter and exit trade.

 

A TECHNICAL VIEW ON CNX-NIFTY FOR-22.5.2020

CNX-NIFTY

 

Open-9079.45--High-9178.55—Low-9056.10—Close-9106.25 on 21.5.2020

Support:9062.17/9038/8940/8909/8821/8801.14/8700/8672.07/8617/8542.59/8480/8419/8220/8148.50/8055/7947.74.

Resistance:9170/9190/9240/9300/9327.85/9348.12/9390.31/9468.75/9685.55/9687.55.

(Bold and underlined figures are most important)                                                                       

It opened on flat to positive note at 9079.45 and made a low of 9056.10 and then moved up and made a high of 9178.55 and ended the day at 9106.25 with a gain of 39.70 points. It sustained above its critical point of 9062.17 for the second day. So long call can be tried on decline but not below 9062.17, but short call should also be attempted within the critical range.

Please note that the other observation, views and trading strategy in my post for 21.5.2020 is valid for 22.5.2020 also. Except for that the buying should only be initiated on decline but not below 9062.17 and should not be initiated above 9094.

I once again reiterate that the ongoing up move is just a relief rally and may end abruptly also, so one should be extra vigilant in long trade and should square of the trade if it gives sign of closing below 9020.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

A TECHNICAL VIEW ON CNX--BANK NIFTY FOR- 22.5.2020

CNX--BANK NIFTY

Open-17901.95--High-18200.70--Low-17658.55—Close-17735.10 on 21.5.2020

 

Support:17719/17502/17390/17380/17286.40/17248.42/17143/16635/16450/16193.25/16116.25/15850/15440/15162.

 

Resistance:18175/18287/18565.06/18703.45/18941/19051/19200/19350/19460/19585/19680/19825/19934/20010.

(Bold and underlined figures are most important)

It opened on a positive note at 17901.95 and then moved in a short range for some time before making a high of 18200.70 and then sharply moved down and made a low of 17658.55 and ended the day at 17735.10 with a loss of 105.10 points. It has been attempting to move above its first critical point of 18175 for last three days but failed to do so which indicate gross weakness in it, furthermore the technical set up is also very weak. It is therefore suggested to avoid long trade till it closes above its critical and important points of 18175 & 18470.67. Therefore short trade should be tried on the rise, but short trade should be squared off also if it gives sign of closing above 18175.

Please note that the other observations, views and trading strategy in my post for 20.5.2020 is valid for 22.5.2020 also.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 

 

A TECHNICAL VIEW ON CNX--BANK NIFTY FOR- 21.5.2020

CNX--BANK NIFTY

Open-17486.50--High-18002.65--Low-17407.70—Close-17840.20 on 20.5.2020

 

Support:17719/17502/17390/17380/17286.40/17248.42/17143/16635/16450/16193.25/16116.25/15850/15440/15162.

 

Resistance:18175/18287/18565.06/18703.45/18941/19051/19200/19350/19460/19585/19680/19825/19934/20010.

 

 (Bold and underlined figures are most important)

It opened on a flat note at 17486.50 and made a low of 17407.70 and then moved up and made high of 18002.65 and ended the day at 17840.20 with a gain of 353.94 points. Although it closed on a positive note today but it is still terribly weak, therefore to show little strength it has to close above 18175 & 18470.67. It is therefore suggested that till it closes above these points long trade should be avoided and sell on the rise strategy should be adopted.    

Please note that the other observation and trading strategy in my post for 20.5.2020 is valid for 21.5.2020 also.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

A TECHNICAL VIEW ON CNX-NIFTY FOR-21.5.2020

CNX-NIFTY

 

Open-8889.15--High-9093.80—Low-8875.35—Close-9066.55 on 20.5.2020

 

Support:9062.17/9038/8940/8909/8821/8801.14/8700/8672.07/8617/8542.59/8480/8419/8220/8148.50/8055/7947.74.

 

 

Resistance:9165/9190/9250/9300/9327.85/9348.12/9390.31/9468.75/9685.55/9687.55.

 

 (Bold and underlined figures are most important)                                                                       

It opened on flat to positive note at 8889.15 and made a low of 8875.35 and then smartly moved up and made a high of 9093.80 and ended the day near the high at 9066.55. After yesterday weak price movement it gave a robust up move today and closed a shade above its critical point of 9062.17(see my post for 20.5.2020).It has to be seen in next 3-4 trading session whether it will sustain above it or not.

 

It has closed above its critical point of 9062.17 so; it has open the upside up to 9220 and sustained close above 9220 will open the upside up to 9350 but for a bigger up move it has to close above 9390.31 and sustain. Kindly note that it is still below its short term moving averages and well below its medium and long term moving averages on the daily and weekly chart, therefore long term trend is down. But in short term if it sustain above 9062.17 on the closing basis then it can move higher and moving up it will face stiff resistance at 9150---9190---9220---9250---9327.85---9348.12---9390.31. Please note that this is a pullback rally so long trade can be tried above 9062.17 for taking advantage of this rally ,but as you are already aware that the pullback rallies are treacherous in nature may end abruptly also at any of the above mentioned points, so one should be extremely vigilant and cautious in long trade. Since this pullback rally is within the downtrend therefore short trade can also be attempted at the important points at 9180----9220----9327.85----9348.12---9390.81with extreme caution.

 

TRADING STARTAGY      

 

1. Buy above 9062.17 with a short stop loss of below 9020, but the authentic stop loss would be 8950.

Or

    Buy above 9094 with a stop loss of below 9020.

   

  

2. Can try selling at critical range 9180----9220(S/L- 9250), 9327.85—9390.31 (S/L—9475).

Or

  Sell below 9020 with a stop loss of above 9095.

Or

Sell below 8950 with a short stop loss of above 9045.

Remark: - The long term trend is down. It closed above its critical point today and if it sustain above 9062.17 it then it can move up further, therefore long trade can be tried as suggested above with extreme caution. Short trade can also be attempted as suggested above with extreme caution too.    

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.

 

Contact me for strategic guidance to enter and exit trade.

 

A TECHNICAL VIEW ON CNX-NIFTY FOR-20.5.2020

CNX-NIFTY

 

Open-8961.70--High-9030.35—Low-8855.30—Close-8879.10 on 19.5.2020

Support:8821/8801.14/8700/8672.07/8617/8542.59/8480/8419/8220/8148.50/8055/7947.74.

 Resistance:8909.40/8981/9062.17/9146/9190/9260/9290/9327.85/9390.31/9468.75/9685.55/9687.55.

 (Bold and underlined figures are most important)                                                                       

It opened on a strong  note today at 8961.70 and made a high of 9030.35 but could not sustain at the higher level and move down to make a low of 8855.30 and closed the day near the low at 8879.10 with a gain  of 55.84 points. It did give an up move as envisaged in my post for 19.5.2020 but it lacked strength.

After yesterdays huge fall, it was a very weak pullback move therefore it seems that it is not going to last and can fizzle out any time may be today itself. However in case the up move continues a close above 9062.17 is required to indicate that it can further move up, but  looking at today’s movement it is less likely to happen. So one should think of long trade only if it moves above 9062.17 and sustain on the closing basis. Moving down the support ranges for now is mentioned hereunder.

1. 8821---8801---8672- sustained break below 8672 will indicate that it could retest or break its bottom of 7511.10 made on 24.3.2020 in coming days/weeks.

2. 8542.59---8480---8419.

In view of the above observation the upside seems to be capped now in the range of 9062.17-----9160. The trend is down therefore I once again reiterate that long trade should be completely avoided as of now. Therefore any rise in it should be utilised for selling till it closes above 9062.17 and sustain. 

TRADING STARTAGY      

1. Sell on the rise in the range of 8980---9030---9090---9160 with a stop loss of above 9250. Kindly note that the self defined short stop losses can also be applied by the traders, but the authentic stop loss would be 9250 only.                                  

 Or

Sell below 8850 with a short stop loss of above 8880.

Or

Sell below 8801 with a short stop loss of above 8860.

Remark: - The long term trend is down. Today’s up rally was very weak; therefore long trade should be completely avoided for now and be reviewed only if it closes above 9062.17. Only short trade should be attempted as suggested above. The long term bias is hugely bearish.    

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.

 

Contact me for strategic guidance to enter and exit trade.

 

A TECHNICAL VIEW ON CNX--BANK NIFTY FOR- 20.5.2020

CNX--BANK NIFTY

Open-18037.15--High-18175.30--Low-17390.65—Close-17486.25 on 19.5.2020

Support:17390/17380/17286.40/17248.42/17143/16635/16450/16193.25/16116.25/15850/15440/15162.

Resistance:18175/18287/18565.06/18703.45/18941/19051/19200/19350/19460/19585/19680/19825/19934/20010.

 (Bold and underlined figures are most important)

It opened on a very strong note  at 18037.15 and made a high of 18175.30 but could not sustain at the higher level and move down sharply to make a low of 17390.65 and finally ended the day near the low at 17486.25 with a loss of 86.94 points. It did give an up move as envisaged in my post for 19.5.2020 but it lacked strength completely.

After yesterdays huge fall, it was a very weak intraday pullback move which it could not sustain and registered fresh losses, which indicated gross weakness in it. However in case  it makes an effort to give another shot for the up move then close above 18470.67 is required to indicate that it can  inch up further, but  looking at today’s movement it is less likely to happen. So one should think of long trade only if it moves above 18470.67 and sustain on the closing basis. Moving down the support ranges for now is mentioned hereunder.

1. 17390----17286---17248----17143---sustained break below 17143 will accelerate the fall.

2. 16635---16450---16193----16116.

3. since it has been running far below its most critical point of 20010 for quite some time, therefore it is very likely that it could retest its bottom of 16116.25 made on 24.3.2020 in coming days/weeks. Furthermore if it sustain below 17248 then it will definitely break the bottom of 16116.25 and open the downside up to 13407 levels which may please be noted. So the bench mark point for now is 17248.

In view of the above observation the upside seems to be capped now in the range of 18175-----18470----18840. The trend is down therefore I once again reiterate that long trade should be completely avoided as of now. Therefore any rise in it should be utilised for selling till it closes above 18470.67 and sustain. 

TRADING STARTAGY      

1. Sell on the rise in the range of 18175---18287---18475---18840 with a stop loss of above 19200. Kindly note that the self defined stop losses can be applied by the traders but the authentic stop loss would be 19200 only.

Or

Sell below 17390 with a short stop loss of above 17500.

Or

 Sell below 17248 with a stop loss of above 17425. This is a short

 stop loss and possibly it could be triggered one or two times, but  

 one has to initiate short position again below 17248 for the

 day.

Remark: - The long term trend is down. Today’s up rally was terribly weak; therefore long trade should be completely avoided for now and be reviewed only if it closes above 18470.67. Only short trade should be attempted as suggested above. The long term bias is hugely bearish.

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.

 

Contact me for strategic guidance to enter and exit trade.

 

 

 

A TECHNICAL VIEW ON CNX-NIFTY FOR-19.5.2020

CNX-NIFTY

 

Open-9158.30--High-9158.30—Low-8806.75—Close-8823.25 on 18.5.2020

Support:8821/8801.14/8700/8672.07/8617/8542.59/8480/8419/8220/8148.50/8055/7947.74.

 Resistance:8909.40/8981/9062.17/9146/9190/9260/9290/9327.85/9390.31/9468.75/9685.55/9687.55.

 (Bold and underlined figures are most important)                                                                    

It opened on a positive note today at 9158.30 and the open was high also for the day, then it plunged down sharply and made a low of 8806.75 in the late afternoon and closed the day near the low at 8823.25 with a loss of 313.60 points.

Today it broke its first & second layer (see my post of 18.5.2020) of support range effortlessly and decisively, which speaks of great weakness in it.  The fall was huge but it took support on the last layer range, so it may stage a short up move from here before finally breaking this range. Moving down the support ranges for now is mentioned hereunder.

1. 8821---8801---8672- (3rd layer support, see my post of 18.5.2020) sustained break below 8672 will indicate that it could retest or break its bottom of 7511.10 made on 24.3.2020 in coming days/weeks.

2. 8542.59---8480---8419.

In case it gives move up it will face stiff resistance in the range mentioned hereunder.

1. 8909.40---8981---9062.17—sustained close above 9062.17 may take it little higher.

2. 9146---9190---9227.24---sustained close above 9227.24 will give some strength for the up move.

3.9290----9327.85---9390.31—sustained close above 9390.31 may regain up momentum.

The trend is down and in view of today’s down move it is not likely to move up beyond the range of 9062.17----9150---9328 on the intraday basis in case of pullback rally, therefore any up move should be utilised for selling till it closes above its critical points of  9062.17 ---9227.24 & 9327.85 . So it is strongly advised to avoid long trade completely as of now.

TRADING STARTAGY      

1. Sell on the rise in the range of 9000---9070---9150----9260----9330

    with a stop loss of above 9420. Kindly note that the self defined short      

    stop losses can also be applied by the traders, but the authentic stop  

    loss would be 9420 only.                                   

 

Or

Sell below 8801 with a short stop loss of above 8860.

Remark: - The long term trend is down. Today’s severe breakdown indicates huge weakness in it, therefore long trade should be completely avoided for now and be reviewed only if it closes above its critical points mentioned above. Only short trade should be attempted as suggested above. The long term bias is hugely bearish.    

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.

 

Contact me for strategic guidance to enter and exit trade.