Nifty and CNX 500 Technical View.

Nifty Technical View

Nifty Tech

  • Many bottoms at 8500.
  • Resistance at 8750-8800.
  • Can it see a move beyond this range in coming weeks.
  • As the trend is still up the assumption would be a breakout on upside till 8500 holds.

CNX 500 Technical View

CNX 500

  • CNX 500 is a stronger higher top and higher bottom.
  • As the trend is up assumption is a breakout beyond 7600-7650 resistance mark.
  • Downside 7350 remains the trend change point.

It would be interesting to watch if we see follow up action out of this range in next 2-3 weeks. A triangle consolidation is also a pattern where one can look for a long strangle.

Although the benchmark indices are consolidating and yet to breakout on the upside but the microcaps/smallcaps are seeing a strong move.

Today almost 25 stocks were on a 20% circuit on BSE.

In simpler terms.

If you have an #exit plan and #riskmanagement the momentum in #smallcaps you have to #ride. If no such #plan just #hide and stay #aside.

Be selective and manage risk.

1 Comment

  1. nmoorthy
    October 29, 2016

    please add the date of posting


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