CNX-BANK NIFTY
Open—45881.45--High—46329.65--Low—45661.75---Close—46120.90
on 29.2.2024.
Support: 45655.50/ 45527/45430.70/45238.80/45071.20/44949.90/44710.55/44547.80/44429/44279.40/44182.50/43830.75/43796.75/43600.35/43345.95/43230.95/42582.20/42105.40.
Resistance: 46181.20/46310.10/46369.50/46426.85/46507.15/46580/46886.90/46892.35/ 47010.80/47259.89/47363.40/47415.85/47481.35/47588/48166.15/48203.45/48219.95/48292.25/48305.40/48381.95 48636.45/48722/48925/49024/49567.60/49696/49857/50324/50633.60/50850.
(Bold and underlined
figures are most important)
It opened on a negative note then had both
side moves during the day and finally ended the day with a gain of 157.75
points. It is needless to mention here that it has been exhibiting volatility
for a long time now and having a see-saw movement quite often, which is a huge
concern and is not a good sign for a steady market and may eventually drag it
down sharply in coming days/weeks & months.
It is already into deep correction mode for
its earlier gains. 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 has to sustain above these points on the closing basis. It
has been way below all these points for a long time and now it is into short & deep short corrective mode
also for its very recent rise as it is below its threshold points of 46719.23 & 46670.88(figure may change).
Please note that if it does not bounce back above these points in shortest
possible time then correction may deepen and going down further the broad support points
could be at 45999----45821---45677----45421.96---45278---45180---45016---44651(Figure
may change) and for in between and other support points please refer the
support table at the top. It is already into short & deep short term
correction mode, however it may bounce back from any of these points, but
sustained break below 45821 will threaten the long term up trend and
then break below each point will weaken it further and finally sustained break
below 44625 may jeopardize the long term uptrend, which please note.
Similarly moving up from here its broad
resistance points could be at 46125---46326----46532---46441---46670.88---46719.23---47030---47096---47361---47448---47644---47795(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. But if it moves above the range of 46125—46326(range will change
daily) on the closing basis then it may gain some strength and may resume
the up move, if it moves above 46670.88 & 46719.23 then it will get
out of recent short corrective mode, if it moves 47361 and sustain then
it will get out of all corrective modes and finally if it moves above 47795
and sustain on the closing basis then it could retest its all-time high of 48636.45
or may go beyond it also.
It is important to mention here that three out
of five important technical indicators have turned negative now and the two
indicators which are still positive showing signs that they may also turn
negative in coming days. Furthermore four out of five indicators on the weekly
& one on the monthly chart is also negative pointing that it could head
down in coming weeks/months and this is highly concerning. Furthermore now it is
below its entire short term moving averages on the daily chart and below some
on the weekly chart and below some medium term moving averages also on the
daily chart, made lower top & bottom on the line chart and the price action
is also weak. Therefore all together things are very dicey and pointing that if
it fails to stage a strong bounce back in a day or two then the down move may
continue. Please note that if it moves above 46209.11(figure may change)
and sustain then it may extend the up move and in the worst case scenario as
long as it holds 45421.96 (figure may change) on the closing basis chances
of up move will be alive. As of now the undertone seems weak and it is sell on
the rise market now.
TRADING TIPS:--
1. Long trade can be tried on decline if it holds the level of 45963
for some time with a stop loss of 45810. But aggressive traders can also
try long trade on sharp decline near or within the range of 44660---44550 with
a stop loss of 45350. Please note that long trade in a corrective
mode could be a risky affair, but can be tried in strong support range or point
for pullback gains.
2. It is into
long term uptrend but in the deep long corrective mode for earlier rise, for
short & deep short term correction mode for recent rise, but pullback mode
is also on, even than 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 46400---46500
with a stop loss of 46600 or sell below 45810 with a stop
loss of 45970. 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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