CNX-NIFTY
Open-17950.40--High—18089.15--Low-17885.30---Close-18065
on 28.4.2023.
Support: 18016/18013/17992/17972.20/17959.20/17916.80/17812/17800/17795.55/17774.25/17761.40/17719.75/ 17680/17641/17597.95/17594/ 17574.05/17553.95/17529.90/ 17493.55/17484/17452.90/17421.80/17405.55/17353.40/17342.10/17326.10/17306/17255.20/17175/17166/17161/17058/17044/17035/16950/16888/16850.15/16836—833---828.35---809/16747.70/16438.75/16410.20.
Resistance: 18105.30/18114.65/18132/18141/18183.75/18210.15/18265.25/18350.95/18362.60/18442.15/18473.35/18604.45/16696.10/18887.60.
(Bold and
underlined figures are most important)
It continued the vertical rise for the 5th day in a row
today and closed with a gain of 149.95 points. Please note that the vertical
rise makes it vulnerable for correction and sometimes vertical rise may have
vertical fall too, therefore correction can happen any day, so be alert and
cautious on the straight rise. However it is showing good strength now,
furthermore it has made inverse head & shoulder pattern and it had given
upside breakout from the neckline yesterday which is a highly bullish sign and
the maximum up target of this pattern could be 18890, but at times there
may be pattern failures also, but if it sustain above the neckline which is
placed at 17890(figure will scale up every day) for the day and hold the
other most critical support point of 17841(figure will change every day)
on the closing basis then the up move will continue with in between correction,
else it may start to drift down.
As you are already aware that it is still into the deep corrective mode
but strong up move is on, therefore moving up from here it will face stiff
resistance at 18105.30---18132---18135---18201.25---18265.25---18362.60---18402---18476.
It can correct at any of these points or earlier also and may resume the up
move again or may exhaust the rally also, but if it moves above 18132 and
sustain on the closing basis then it will be on the fast up momentum track and
possibly will get out of the all corrective mode also, the complete correction
completion points are 18013 & 18362.60 and it has already crossed
18013 level today, which is a positive sign and finally if it moves above 18476
and sustain on the closing basis then it could retest its all-time high of 18887.60
or may go beyond it also, which please note. The bias is bullish as of now.
Similarly moving down its critical support points would be at 17962.85----17890---17842.47---17841---17797---17766----17707.55---17639---17619---
17553.95----17452(figure will change every day) ---17315. Please note that
break below 17962.85 will push it into short correction mode for its
recent rise, sustained break below the neckline of 17890(figure will change
every day) will be an inverse H&S pattern failure, which would be weak
sign , sustained break below 17841(figure will change every day) may
indicate fatigue and exhaustion of the up move, break below 17812 &17791(figures may change) will push it into medium and deep correction mode for its recent
rise, break below 17553.95 may
trigger fresh fall, break below 17452
will potentially threaten the long term uptrend and may accelerate the fall and
finally break below 17315
will end the possibility of the major pullback up move hope for good and fall
may continue with in between short relief rallies. Therefore 17315 is the last key support point as
of now. In light of above observation it is
suggested to avoid long trade if it closes below 17890 & 17841(figure will
change every day) else it is buy on decline market with caution.
In view of the
above , long trade can be tried if it moves above 18090 and maintain for
some time with a stop loss of 18000 or
can buy on decline near 17890 but
not below it with a stop loss of 17820.
Since it is still into deep corrective mode therefore short trade can also be
tried on the rise at appropriate points or on price breakdown for the intraday gains but with due
caution because the up momentum is strong now.
The long term bias is showing marked improvement and chart setup is also
looking good, short term technical setup is nicely poised now and likely to
move up further, provided it holds the key support point of 17890 & 17841 as mentioned above. Do not trade without proper stop loss.
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
Mobile—8240951127/9831313654.
