Nifty Spot Weekly Profile (06th to 10th Sep 2021)
17369 [ 17436 / 17254 ]
Previous week’s report ended with this ‘The weekly profile is a Trend Up One with a big range of 575 points & completely higher Value at 17016-17112-17292 and staying above 17312 could continue to probe higher in the coming session(s) towards 17379 & 17472 whereas acceptance below 17276 may trigger a probe lower towards 17228 & the 2nd Sep VPOC of 17177’
Nifty continued previous week’s imbalance to the upside with a higher open on Monday where it made new highs of 17429 and saw profit booking by the longs which led to a small selling tail in the A period and a narrow 84 point range ‘b’ shape profile for the day as it took support just above previous week’s high of 17340 and closed at the prominent dPOC of 17375. The auction opened higher again on Tuesday but got rejected from previous day’s selling tail which empowered the sellers to strike as they left a longer selling tail in the A period and went on to enter previous week’s range in the ‘B’ period and tested the weekly VAH of 17292 after which it made the dreaded C side extension lower making a marginal new low of 17287 but got swiftly rejected triggering a short covering rally till the ‘H’ period as Nifty not only confirmed a FA (Failed Auction) at lows but also tagged the 1 ATR objective of 17435 to the dot as it made new ATH of 17436. However, the new highs did not attract any fresh initiative demand and the laggard longs were forced to exit in the drop back to 17362 into the close ending the day as a Neutral Centre Profile and continued to be indecisive at open on Wednesday as it formed a narrow IB (Initial Balance) range of 59 points and remained inside it till the ‘F’ period but made similar highs of 17373 signalling that the upside was getting exhausted which the sellers took advantage of once again by driving the auction lower in the ‘G’ & ‘H’ periods as it not only revisted the FA of 17287 but went on to tag the 3rd Sep VPOC of 17276 while making a low of 17254 and in the process completing the 2 IB objective for the day. This second break into the weekly Value was also met with rejection resulting in yet another short covering probe into the close as Nifty hit 17373 yet again in the ‘M’ period forming inside Value for the day and ended the week with the narrowest daily range for September so far of just 77 points as it remained in previous day’s Value but the attempt it made to move out of it to the downside in the ‘G’ period was rejected resulting in another FA being confirmed at 17303 with the auction making a high of 17379 into the close leaving a Neutral Extreme profile.
Last week’s Trend Up profile of imbalance has led to a well balanced Neutral Centre profile this week with a narrow range of just 182 points along with a close right at the prominent POC of 17368 forming completely higher Value at 17316-17368-17388 and has a very good chance of turning back into imbalance in the coming week provided we get an initiative move away from 17368 on Monday.
Click here to view this week’s auction in Nifty with respect to the previous week on MPLite
Weekly Hypos for Nifty (Spot):
A) Nifty needs a drive above 17388 for a probe to 17430 / 17472 / 17514 / 17582 / 17617 / 17653 / 17685
B) Accepting below 17368 could lead to a test of 17303 / 17259 / 17228 / 17177 / 17138 / 17099 / 17049
NF (Weekly Profile) – 17364 [ 17450 / 17276 ]
NF followed up previous week’s trending profile with a narrow range Neutral Centre Week with mostly higher Value at 17316-17366-17396 and a close right at the prominent weekly POC of 17366. The auction opened higher on Monday continuing previous week’s imbalance as it formed new highs of 17429 but could not extend further leading to a narrow 68 point range for the day which was followed by a 150 point range imbalance on Tuesday as NF probed lower in the IB but gave the C side dhoka (false move) and a FA (Failed Auction) at 17300 which led to the completion of the 1 ATR target of 17442 on the same day but lack of fresh demand forced a close back around the dPOC of 17368 resulting in a Neutral Centre Day with the bias continuing to be to the downside on Wedneday where the auction revisted the FA & made new lows for the week at 17276 but was swiftly rejected to give yet another close near 17368 and concluded the week with an inside bar on Thursday both in terms of range & value as NF confirmed a FA yet again at 17301 leaving a Neutral Extreme Up profile for the day and a hat-trick of close near 17368. The weekly profile is a Neutral Centre one with completely higher Value at 17316-17366-17396.
BankNifty Spot Weekly Profile (06th to 10th Sep 2021)
36683 [ 36923 / 36152 ]
Previous week’s report ended with this ‘The weekly profile looks like a composite ‘p’ with completely higher Value at 36348-36738-36876 and the close around the POC means that the auction could give a move away from here in the coming week’
BankNifty opened higher right at previous week’s VAH of 36876 but the attempt to probe higher got rejected as it confirmed an Open Rejection Reverse start for the current week in form of a selling tail in the IB (Initial Balance) from 36765 to 36923 which also triggered the 80% Rule in previous week’s Value as it first formed a ‘b’ shape daily profile on Monday making a low of 36554 and continued this probe lower at open on Tuesday where it broke below the weekly VAL of 36348 in the ‘A’ period itself and went on to hit 36188 as the IB ended leaving selling singles from 36423 to 36559 after which it made a C side extension lower making new lows of 36152 but was swiftly rejected back into the IB after testing last week’s higher extension handle of 36183 marking the end of the downside probe. The auction then made a strong OTF (One Time Frame) move higher till the ‘H’ period as it confirmed a FA (Failed Auction) at lows and completed the 1 ATR objective of 36631 while making a high of 36686 but made a retracement back to the dPOC of 36454 into the close leaving a Neutral Centre Day with completely lower Value on the daily timeframe. Wednesday open saw a move away from this POC as BankNifty left an initiative buying tail in the IB and even made couple of REs (Range Extension) to the upside but got stalled in Monday’s selling zone resulting in a ‘p’ shape profile for the day with a mini spike into the close as it made new highs for the day at 36856. The auction then made a look up above this spike at open on Thursday but was swiftly rejected as it left an initiative selling tail in the IB and probed lower making marginal new lows in the C & G periods as it hit 36567 but held above Wednesday’s buying tail of 36513 to 36394 and formed a ‘b’ shape profile for the day with Value being completely inside along with an overlapping prominent POC at 36635.
The weekly profile was a Normal Variation one to the downside also forming inside bar in terms of both range as well as value within a narrow range of just 772 points and a close around the ultra-prominent POC at 36650. This week’s Value at 36540-36650-36792 seems to be completing previous week’s profile and could give that expected move away from this balance provided it takes out one of this week’s rejections – either the selling tail from 36857 to 36923 or the FA of 36152 in the coming week with 36725 & 36454 being the immediate levels on either side to watch out for.
Click here to view this week’s auction in BankNifty with respect to previous week’s profile on MPLite
Weekly Hypos for Bank Nifty (Spot):
A) BankNifty needs a drive from 36725 for a rise to 36857 / 36961 / 37100 / 37188 / 37250 / 37331 / 37401
B) Accepting below 36650, the auction could test 36577 / 36454 / 36369 / 36270 / 36152 / 36048 / 35966
Extended Weekly Hypos
C) Above 37401, can expect higher levels of 37480 / 37625 / 37730 / 37825 / 37930 / 38025 / 38220 / 38350
D) Below 35966, the auction could fall to 35868 / 35715 / 35588 / 35416 / 35263 / 35168 / 35080 / 34973
BNF (Weekly Profile) – 36772 [ 37037 / 36251 ]
BNF opened higher and tagged 37037 but got rejected from last Friday’s open which was also Thursday’s high as it got back into previous week’s Value making a low of 36690 on Monday and continued the move lower on Tuesday completing the 80% Rule in the A period itself after which it went on to break below the extension handle of 36305 from 30th Aug with a C side extension and left a small tail at lows from 36306 to 36251 just above 30th Aug Trend Day VWAP of 36230 which marked the end of the downside as a FA (Failed Auction) got confirmed on the daily timeframe leading to a good bounce back to 36836 where the auction stalled just below the weekly POC and this gave a retracement to 36512 into the close. Wednesday open resumed the upside probe with a move away from Tuesday’s POC of 36566 in the IB and even made multiple REs (Range Extension) higher but could only form a ‘p’ shape profile for the day with buying singles from 36628 to 36502 & a high of 36946 and with the dPOC also shifting higher to 36893 into the close. Thursday open another move away from the previous POC but this time it was to the downside as the auction got rejected yet again from just below previous week’s VAH of 36984 and formed a ‘b’ shape profile for the day with a selling tail from 36854 to 36963 and a low of 36651 closing just below the dPOC of 36797. The weekly profile was completely inside previous range as well as value with rejection on the upside in the form of selling singles first from 36882 to 37037 and then from 36853 to 36963 whereas on the downside it has a buying zone from 36628 to 36502 and below it the FA of 36251 which will be the important references for the coming week. Value for this week was at 36652-36755-36883.