CNX-NIFTY
Open-24444.95--High-24504.25—Low—24307.25--Close-24413.50
on 24.7.2024.
Support:24174/24168.85/24141.80/23992.65/23985.80/23667.10/23398/23350/23338.70/23206.65/23110.80/22794.70/22768.40/22526.60/22417/2303.80/22297/22224.35/22126.80/21860/21821.05/21801.45/21777.65/21731.40/21727.75/21710.20.
Resistance:24461.05/24504.45/24854.80/24865/24978/25152/25318/25494/25551.
OVERALL VIEW:
--
It opened on a negative note and thereafter
had both side moves during the day and
finally ended the day with a loss of 65.55 points. It has weakened a
bit but still exhibiting strength and the overall technical chart structure is looking
good but the vertical rise, wild swings and volatility and most importantly
major important technical indicators have turned negative on the daily chart,
which is a concern and it could drag it down sharply in the coming days and it has
been behaving in that direction for the last two days, which is weak sign.
Furthermore it is into short correction mode now for its recent rise as it is
below its correction threshold points of 24686.53---24649.72 & 24499.67(figure
may change)-it has also moved below few of its
short term moving averages also placed at 24526----24508----24465---24461---& 24450(figure will change every day) , however
since the technical chart setup looks good therefore it can still continue the up move provided it
holds its rest first key support range points of 24346-----24273----24258.42-----24141.80----24011.49-----23992.70-----23985.80-----23667.10(figure may
change) It is into correction mode for its recent
rise, however it can bounce back from any of these points, but break below each
point will deepen the correction, please note that till it holds 24258.42 on the
closing basis the chances of up move will be alive. sustained close below 24258.42 & 24141.80 may accelerate the
fall , break and sustained close below 24011.49---23998.46---23992.70 & 23985.80
may confirm that a big correction
may be ahead and finally break and close
below 23667.10 may further accelerate the fall. It is important to
mention here that even if it breaks the above mentioned range a glimmer of hope
can be there and it can still bounce
back provided it holds the last range key support points of 23350----23338.70----23297.55----23206.65----23110.80(figure may change), else fall may
deepen. Please note that break below its critical bottom & top of 23350 & 23338.70 on the closing basis can pull it down further and finally sustained
break below 23110.80 may accelerate the fall. It is important to mention
here that some important technical
indicators on the daily, weekly and monthly charts are still very weak and
showing overbought condition also, which indicates that it may deeply correct
in the coming days/weeks and could head down much lower fro here, but please
note that if price action remains good
there is no major threat for it to move down but it has not been consistently
good for quite some time and off late it is on sticky footing and the price
action was mixed today, so keep an eye on the price action for further direction. Since it is into correction
mode today therefore it is sell on the rise market in general but both side trades
can be tried depending on the price action for intraday gains.
NOTE: - TECHNICAL INDICATORS ARE POINTING THAT
A MODERATE TO BIG FALL MAY BE AHEAD IF IT FAILS TO MOVE ABOVE 24687 AND SUSTAIN
ON THE CLOSING BASIS IN THE NEXT 2-3 DAYS. SUSTAINED BREAK BELOW 24258 MAY
TRIGGER FRESH FALL.
STRENGTH:-
1. It is in
the long term uptrend now.
2. It is
well above its critical points of 21821.05---21801.45---21777.65---21776.87---21731.40---21727.75
& 21710.20, which is must to keep the up momentum going in the year 2024.
Sustained break below this range may witness accelerated fall.
3. It is in the new zone.
4. It is still almost above all
its short & medium term moving
averages on the daily and weekly chart, and the important range is between 24544----24510----24475----24440---24311----24258(figure will change every day), sustained break below this range can
trigger fresh down move again.
5. One out of seven important
technical indicators is positive on the daily chart.
WEAKNESS:-.
1. It slipped into correction mode
today as it closed below its correction threshold points of 24686.53----24649.72 & 24499.67.
The other important correction threshold points are at 24011.49(figures may change). Please note that break below each
point will make the correction deeper.
2. Six out of seven important
technical indicators have turned negative on the daily chart
3. Some important technical
indicators are weak and overbought on the daily/weekly and monthly chart and
pointing that it could head down in the coming days/weeks and months.
4. 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. 6.
The price action was positive today.
5. The price action was mixed
today.
6. It has broken recent bottom of
24141.80 on the bar chart.
7. It is below almost all its short term moving averages on the
daily chart and the important range is
between 24526----24508----24465----24450---24346----24273(figure will change every day), sustained break below this range can
trigger fresh down move again.
TRADING CALL: --
1. Long trade can be tried on decline near or within the range of 24315----24260 with a stop loss of 24200, else avoid. Please note that
long trade in a corrective market could be a risky affair but can be tried near
critical support points for intraday gains.
2. Short trade can be tried on the rise near or within the range of 24512---24550
with a stop loss of 24620 or can sell if it moves below 24258
with a stop loss of 24370 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
