Nifty Spot Weekly Profile (04th to 08th Apr 2022)
17784 [ 18114 / 17600 ]
Previous week’s report ended with this ‘The weekly profile is a Trend Up one with mostly higher Value at 17260-17484-17700 and has 2 daily VPOCs in the lower part of the profile at 17036 & 17286 along with a zone of singles from 17328 to 17421 which will be the important references on the downside for the coming week with the prominent POC of 17484 being the immediate level where as getting accepted in the spike zone of 17594 to 17704 would mean that the PLR (Path of Least Resistance) remains to the upside’
Nifty continued previous week’s imbalance to the upside with an Open Drive Up on Monday where it tested the selling extension handle of 18085 from 18th Jan 2022 while making a high of 18089 in the IB (Initial Balance) after which it made the dreaded C side extension to 18114 which was swiftly rejected indicating that the positional supply was back here which was further confirmed on Tuesday as the auction left a FA at 18095 signalling the end of the upside & the reversal of the PLR (Path of Least Resistance).
The next 3 days saw Nifty forming lower lows as it completed the 2 ATR objective of 17639 from the FA and marked the end of this leg lower with another C side extension on Friday where it hit new lows for the week at 17600 and went on to confirm a FA there leaving an extension handle at 17751 and promptly completed the 1 ATR target of 17806 but left similar highs of 17842 & 17836 displaying exhaustion in the upmove and closed the week at 17784 leaving a Triple Distribution profile on the weekly with completely higher Value at 17772-18004-18092 with the lower HVNs at 17824 & 17658 which will be the references for the coming week.
Click here to view this week’s auction in Nifty with respect to the previous week on MPLite
NF (Weekly Profile) – 17878 [ 18171 / 17656 ]
NF continued previous week’s imbalance close with a gap up along with a Drive on Monday where it formed a large 314 point range IB (Initial Balance) and formed a ‘p’ shape Normal Day leaving a long buying tail from 17923 to 17713 to make a high of 18121. The auction then made a series of Neutral Days for the rest of the 4 days of the week starting with confirming a FA at 18171 on Tuesday which signalled the reversal of the PLR (Path of Least Resistance) to the downside after which NF left a prominent VPOC at 18068 & left another FA on Wednesday at 17965 but formed a narrow 128 point range Neutral Centre Day closing at another prominent dPOC of 17864.
Thursday saw a gap down open as the auction made new lows of 17752 in the A period but took support just above the weekly VAH of 17730 and gave a bounce to 17866 only to get swiftly rejected from this prominent POC as it made new lows of 17693 completing the 2 ATR objective of 17703 from the FA of 18171. NF continued the downside probe in the IB on Friday where it tagged 17667 and made a typical C side extension to 17656 which was also the spike low of previous week & got rejected confirming the 3rd FA of the week which gave way to the third Neutral Extreme Day as the auction made a high of 17945 before the weekend profit booking saw the dPOC shifting higher to 17880 where it eventually closed the week.
The weekly profile is a Neutral Centre one which consists of a 2-day balance higher with the HVN at 18066 followed by another on-going 3-day balance with the HVN at 17868 and the daily FA at 17965 as the immediate references for the coming week. This week’s Value was completely higher at 17682-17862-18030 as NF has left a weekly VPOC at 17544 but has a low volume zone from 17740 to 17860 which it could fill up if remains below 17868 before giving a move away in the coming sessions.
BankNifty Spot Weekly Profile (04th to 08th April 2022)
37752 [ 38766 / 37346 ]
Previous week’s report ended with this ‘The weekly profile is also an elongated one to the upside with overlapping to higher Value at 35688-36300-37164 and has left couple of daily VPOCs at 35108 & 35799 above which it has a prominent weekly POC at 36300 & has shown rejection at Thursday’s POC of 36455 which will be the important references on the downside in the coming week below the 3 extension handles mentioned above whereas on the upside, the weekly VPOCs of 37620 & 38520 could come into play if the auction manages to form higher Value in the coming session(s)’
BankNifty opened the week with a gap up of 676 points well above the first of the weekly VPOC of 37620 & continued to drive higher in the IB (Initial Balance) as it tagged the higher weekly VPOC of 38520 too and made a high of 38766 stalling just below the FA of 38790 from 11th Feb 2022. The auction remained in the large IB range of 1100 points all day forming a ‘p’ shape profile & continued to build overlapping Value on Tuesday but left an initiative selling tail in the IB and closed with a small spike lower from 38090 to 37935 entering the previous day’s buying tail to indicate supply overcoming the demand.
This was further confirmed with a gap down open on Wednesday as BankNifty made new lows for the week at 37524 and followed it up with a lower low of 37346 on Thursday at open where it
left an initiative buying tail & formed an outside day while making a high of 37976 and continued to balance on Friday forming a 3-day composite. The weekly profile resembles a DD (Double Distribution) Down one with completely higher Value at 37416-37620-38280 with 2 ultra prominent HVNs in the 2 distributions with 38324 being the upper one & 37620 the one in the lower part which would be the respective references for the coming week and would need initiative volues for a move away from either of them.
Click here to view this week’s auction in BankNifty with respect to previous week’s profile on MPLite
BNF (Weekly Profile) – 37985 [ 38780 / 37499 ]
BNF continued previous week’s imbalance to the upside with a gap up of 650+ points on Monday and a huge 1179 point range IB where it made a high of 38744 and could not extend any further forming a ‘p’ shape Normal Day with a long initiative tail from 38135 to 37201 and continued to build overlapping Value on Tuesday before the attempt it made to extend the range to the upside got swiftly rejected at 38780 indicating lack of demand at these new highs which led to a FA being confirmed at highs and left a NeuX (Neutral Extreme) profile turning the PLR for the week to the downside.
The auction gave further confirmation to this with a gap down open of 400 points on Wednesday & followed it up with another lower open of 250 points on Thursday and a freak low of 37400 which also completed the 2 ATR objective of 37423 from the FA of 38780 and saw the return of demand in this zone as BNF left an initiative buying tail from 37605 to 37400 triggering a quick probe higher to 38180 in the F period where the supply from 05th Apr’s NeuX zone high of 38175 came back into play forcing a retracement back to 37650 before closing around the 2-day overlapping POC of 37765.
Friday made an OAIR start with a test of the buying singles in the IB but the dreaded C side extension to 37566 led to the second FA of the week getting confirmed as BNF went on to make a high of 38089 but left a responsive selling tail and saw the dPOC shifting higher to 38020 into the close. The weekly profile resembles a DD (Double Distribution) one with completely higher Value at 37600-37744-38352 and has left couple of HVNs higher at 38437 & 38633 which will be the levels to watch for if the auction sustains above 38020 in the coming session(s).