This weekly profile chart of the Nifty future shows a buildup of Tpo’s at 6185-6200 , and relatively light at the bottom.this meant that the market was top-heavy at the start of the week and should have auctioned to the lower end at 6124 which it eventually did.
The purple zones are the value areas where the market found acceptance or traded 70 % of the time that week.
At yesterday’s close we were within the value area created in the week beginning 27th Dec. This would give the market an 80 % probability of auctioning till the lower end of that value area or the pink / brown lines of 6040-6020 as shown.
Only a strong volume move above yesterday’s level of 6124 given in this post here will erase that possibility.
