30/04/2012

The first day of the new series was welcomed by initiative buyers, then responsive sellers and then again responsive buying ( short covering) to have the markets close at the previous day's POC.

 

Since POC is considered the fairest price, the net result of the session was that buyers and sellers finished equals, not a good result considering that the market has been range bound for over a month.

 

Mp 17 30/04/2012

 

We noticed in our earlier chart on Volume profile on how shorts are holding at higher levels. However we are also seeing that they are covering at the bottom of the bracket closer to 5160- 5180 levels.

 

One should be quick to take profits in such a market as a trending move is very elusive and not worth waiting for.

 

Friday's high at 5252 was the vwap for the month and a move above the HVN at 5262 would set the NF up for a positive week which should see higher levels of 5340. The seller is expected to be back around that level.

 

Mpbn2 12 30/04/2012

 

In the BN the seller at 10260 was once again dominant and pushed the index lower. If the BN manages to get above the 10270-10330 zone, it should get the next 120 points easily.

 

Overall in both charts we have noted an absence of a upper range extension in the past 6 sessions. If we do get an upper IB extension on Monday, it will mark a change and show that buyers want to push the index higher.

 

Tuesday is a holiday for the markets.