CNX-NIFTY
Open—25505.10—High—25576.70---Low---25384.35---Close---25405.30 on 3.7.2025.
Support:25371/25333.65/25285.55/25234.05/25136.20/25116.25/25079.20/25892.60/24857.75/24854.80/24792.30/24753.15/24694.35/24589.15/24537.60/24498.20/24494.45/24472.80/24354.55/24198.75/24141.80/24099.70/24094.20/24073.90/23938.85/23893.70/23873.35/23869.65/23847.45/23816.15/23807.30/23667.20/23664/23644.80/23637.65/23484.15/23537/23426.30/23391.65/23338.70/23263.15/23110.80/23049.95/23047.25/22976.85/22794.70/22786.90/22775.70/22768.40/22676.75/22625.30/22577.40/22546/22525.65/22502/22314.70/22303.80/22281/22165/22124.70/22104.85/21964.60/21875.25/21860.65/21821.05/21777.65/21710.20/21530.20/21448.65/21281.45/21137.20/21021.88/20976.80/20769.50/20291.50/20222.45/19991.85/19839/19333.60.
Resistance:25445.70/25871.35/26277.35/26328/26995/27095/27212/27293/27381.
OVERALL VIEW
ON THE DAILY CHART:
--
It opened on a positive note and thereafter
had both side moves during the day and finally, ended the day with a loss of 48.10 points. But it is also
important to mention here that it that it still has earlier unfilled
gaps (gap points are 24164, 22923, 22468 & 22254) also on the
downside/upside, which is still a huge concern, although stipulated time for
filling the gap is over long ago, but it will fill the gap one day for sure.
So, be cautious. Please note that it is often exhibiting volatility, which is
not a good sign for a steady market.
The technical setup is showing sign of
weakness as it made lower top & bottom on the line chart and also slipped
into short correction for its recent rise, but the good point is that it is
still holding on to its most important points or range of 25387.01----25371(it
bounced back from this range today) and if it sustain above it on the
closing basis, then it could retest its all-time high of 26277.35 or may
go beyond it. But break & sustained close below this range will push it
into deep short correction mode and may dampen the chance of re-testing its
all-time high and it may drift down. Moving down if it but manages to hold the
points or range of 25260.22----25248---25239.36 ( figures may change) then
there is a hope that it could still bounce back and may make an effort to
resume the up move , but break & sustained close below the range will push
it into medium term correction mode for its recent rise, which will be an alert
sign for going down, moving down further it will find support in the range
of 25176—25142(figures will change
daily) it is a good bounce back range, but break & sustained close
below the range may trigger fresh fall and finally it will find support at its
make or break bottom at 24753.15, it could be the strong bounce back
support point, but break & sustained close below it may derail it from the up- momentum track and it
may witness an accelerated fall.
Moving down it will find support at 24742.88----24494----24462----24218(some
figure may change), it can bounce back from any of these points, but
break & sustained close below 24742.88 will push it into deep
correction mode and will be a trigger point for going down , break &
sustained close below the range of 24494----24462 will be a potential trigger
point for going down further and finally
break & sustained close below 24218
will threaten the long term
uptrend and may drag it down further, 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 good, but break & sustained
close below this range may trigger fresh fall and may end the hope of a
continued up-move 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, else it may witness an accelerated
fall. It is in the long term uptrend as of now, but it slipped into short term
correction mode today.
Moving up the key resistance points could
be at 25448.47---25670----25761----25778---25863---25996----26277.35. It can correct at any of these points and then may resume the up-
move again or rally may fizzle out for a while also. Please note that if it
moves above25448.47 and sustain on the closing basis then it
will get out of corrective mode and may resume the up-move again. It is in the long term uptrend, but gotten into short correction
mode today.
TECHNICAL INDICATORS PLACEMENT ON THE
DAILY CHART;-
It has made lower top & bottom on the
line chart, which is a weak sign, but it is above all its short, medium &
long term moving averages on the daily, weekly & monthly chart, which is a
positive sign for moving up further. Furthermore almost all the important technical
indicators are positive now on the daily chart and majorly in the buy mode such
as MACD, EV, PS & ADX but RSI is with negative divergence, VM & ST is
in the sell mode and it is in the overbought zone. So there is a high
probability of a correction anytime soon and it got into correction mode today.
Therefore in totality
as of now it is giving mixed signal with slight downward bias. But please note
that earlier vertical rise, unfilled gaps, negative divergence and in the
overbought zone on weekly & monthly chart is still a concern, therefore further fall cannot be ruled out in
coming days, so it is suggested to be extremely alert and cautious in your long
trade commitments at this juncture. Please keep an eye on the critical
resistance & support points and price action for further directional
indication.
TECHNICAL
INDICATORS PLACEMENT ON THE WEEKLY & MONTHLY CHART:-
On the weekly chart important indicators
such as MACD/ ADX/ PS/ST &EV are in the buy mode, but it is in the deep overbought
zone and RSI has negative divergence, so it can correct at times, but overall
looks good for extension of the up-move. On the monthly chart it is in
overbought zone and with huge negative divergence and with MACD & PS 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 months.
IT
IS BUY ON DECLINE MARKET NOW;-
It is into
corrective mode but till it holds its key point of 25371 on the closing basis, it will be a buy on decline. But short trade can also be tried on the rise near the critical resistance
points or range with strict stop loss, for intraday corrective gains.
STRENGTH:-
1. It is above its major long
term rising trend line which is placed at 24128
& 22481 for the month of July-2025,
these are the very strong support point.
2. 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.
3. It is above its most critical first
& second make or break bottom of 24753.15 & 23893.70 sustained close above it will help to
extend the up-move.
4. It is above all of its correction
threshold points of 25387.01----25260.22----25239.36--- 24742.88(figure may change), if it
sustains above it, it is a positive sign for moving up.
5 It is way above its top
long-term moving averages which is placed at 24218 (figure will change every day) for the day, close below this point
would be a weak sign.
6. It is above almost all(except
for one) its short-term moving averages now on the daily chart and the
important average range for day is between 25434---25347----25345----25248---25176---25142(figure will change every day), sustained close above this range may help
it to extend the up-move.
7. The price action was mixed 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. RSI is with negative divergence, VM & ST is in the sell mode and
it is in the overbought zone, so, it can correct at times and it is into
correction mode now.
3. It has made lower top &
bottom on the line chart, which is a very weak sign.
4. It
slipped into short correction mode today as it closed below its threshold point
of 25448.47(figure may change), sustained close below it can
drag it down further.
TRADING CALL: --
1. Long
trade can be tried on decline near or within the range of 25387.01----25371 if
it holds this range for some time but not below it with a stop loss of 25300,
for a possible
intraday gain, else avoid. Please note
that long trade in a corrective mode could be a risky affair.
2. Short trade can be tried on the rise near or within the range of 25570---25600
with a stop loss of 25670 or can sell if it moves below 25371
and maintain for some time with a stop loss of 24460. 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
