Levels and Plan for 21st Oct

The Nifty today hit the supply band mentioned in our weekly report of 8287-8295 spot and sold off but it also met with a strong responsive buyer near 8230 who was successful in pushing the index back to vwap. Day type was a neutral center with a close near vwap and midpoint.

 

Nifty Oct F:

 

Nf_Compo1

 

Background / Previous Auctions :

Weekly levels: We have done a review on weekly charts at: http://vtrender.com/nifty-bn-weekly-view-spot-for-19-oct-23-oct15/

Observations in Today’s/ Previous sessions:

(based on Fut prices)

#) The NF profile was a neutral center   with a third straight session showing  buying prints at the lows again
#)  vwap of the day was at 8264 with volume of  80.1 L in a  trade which worked an 8288-8226  range of 63 points

#) Day POC was at 8278 levels

#) Vol was very poor again and almost the same as yesterday

#) Profile shows us buying prints from 8226

#) OrderFlow also shows 8240- 8226 as having strong buyers

 

#) Value areas are at  8282-8278-8254– for the session tomorrow. For using value areas effectively visit :http://vtrender.com/popular-market-profile-trading-setups/
#) Discl – When we mention Buyers/ Sellers we point to and infer aggressive players.

 

Hypothesis :

(based on Oct F)

K.R.A is 8320 ( K.R.A= key reference area)

 

Hypo1 ) If NF auctions above 8275 it could move to 8296 and 8320  SL for this view is 8250

Hypo 2) IF NF auctions below 8233  it could move to 8212 and 8183. Sl for this view is 8261

BankNifty Oct F:

 

 Bnf_Compo

Background/ Previous Auctions :

Weekly levels: For Banknifty we have updated a spot auction view with a chart at: http://vtrender.com/nifty-bn-weekly-view-spot-for-19-oct-23-oct15/

Observations in Today’s/ Previous sessions:

(based on Fut prices)

#) The BNF profile was a neutral day
#) vwap was at 17875 with volumes of 28.1 L in a trade which worked a 17968-17752 range of 216 points.

#) day POC was at 17825 levels

#) Profile was again in Friday’s spike zone and came to test the low of the spike

#) The bullish spike of 90 minutes of Friday has now been fully retraced in 2 full sessions.

#) Profile stayed  above the 3-1-3 profile we have been tracking
#) Value areas are at 17920-17825-17810 for bias. . For using value areas effectively visit: http://vtrender.com/popular-market-profile-trading-setups/

 

Hypothesis :

( Based on Oct Futures)

K.R.A is 17820  ( K.R.A= key reference area)

Hypo1 ) IF BNF auctions above 17895  it could move to 17965 and 18100. Sl for this view is 17795.

Hypo 2) If BNF auctions below 17745 it could move to 17673 and 17605. SL for this view is 17845.

All Hypos to be traded with the mentioned stops and mechanically. If in the trading room, can use the Order Flow to qualify the entry and exit for the hypos.