Nifty Spot Weekly Profile (14th to 18th Feb 2022)
17276 [ 17490 / 16809 ]
Previous week’s report ended with this ‘The weekly profile once again is a Neutral Centre one & looks like a Triple Distribution one with mostly lower Value at 17181-17391-17475 and has left 2 daily VPOCs, the lower one at 17183 & the upside one at 17615 which will be the levels to watch out for in the coming week’
Nifty opened the week with a big gap down of almost 300 points and continued the probe lower in the A period as it broke below previous week’s low of 17043 and went on to make a low of 16916 after which the auction formed a balance in this big A TPO range for most part of the day before making a late RE (Range Extension) to the downside in the K period and closing the day with a spike from 16861 to 16809 revisting the 22nd Dec 2021 FA of 16819. Tuesday open however rejected this spike close indicating end of the downside and went on to form a Trend Day Up leaving extension handles at 17013, 17118 & 17174 confirming a weekly FA at 16809 & getting back into previous week’s Value as it made a high of 17375 stopping just below previous week’s POC of 17391.
Nifty made a higher open on Wednesday as it completed the weekly 1 ATR objective of 17414 from 16809 and made attempts to extend the range at both ends but was not successful forming a Neutral Centre Day but more importantly showed rejection at previous week’s VAH where it left a selling tail from 17464 to 17495. The next 2 days saw lower highs & lower lows being formed but the auction could not take out the Tuesday’s mid-profile singles of 17174 to 17260 completely closing the week with a nice 3-day composite with Value at 17288-17345-17396.
The weekly profile is a Double Distribution (DD) one with overlapping value at 17058-17322-17490 which includes a 100 points DD zone from 17219 to 17118 which will be the zone to watch on the downside along with the daily VPOC of 17057 & this week’s FA of 16809 whereas on the upside, Nifty will need to give an initiative move away from this week’s prominent POC of 17322 and take out the daily VPOC of 17386 for a probe towards the higher one of 17615 from 10th Feb.
Weekly Hypos for Nifty (Spot):
A)Nifty needs a drive above 17288 for a probe to 17345 / 17386 / 17417 / 17464 / 17541 / 17615
B) Accepting below 17238 could lead to a test of 17174 / 17118 / 17057 / 17007 / 16961 / 16923
C) Above 17615, can expect higher levels of 17669 / 17706 / 17757 / 17795 / 17885 / 17921
D) Below Below 16923, the auction could fall to 16866 / 16809 / 16771 / 16742 / 16688 / 16635
NF (Weekly Profile) – 17278 [ 17495 / 16801 ]
NF made a 227 point gap down open this week and made a low of 16801 on Monday where it confirmed a weekly FA on Tuesday and formed a Double Distribution (DD) type profile on the weekly with Value overlapping at both ends at 17052-17309-17484 and ended the week with a nice 3-day composite and has a good chance to move away from here in the coming week with the DD zone from 17218 to 17129 being the reference to the downside along with the daily VPOC of 17075 whereas on the upside, the auction will need acceptance first above 17309 and then above the HVN of 17359 for a probe higher towards the daily VPOC of 17603.
BankNifty Spot Weekly Profile (14th to 18th Feb 2022)
37599 [ 38461 / 36652 ]
Previous week’s report ended with this ‘The weekly profile is a Neutral Centre one with overlapping to lower Value at 37812-38520-38820 with a close right at the POC and could give a good move away from here in the coming session(s) towards either the lower daily VPOC of 37728 or the higher one at 39095′
BankNifty for the second week opened with a big imbalance to the downside as it not only opened lower by a huge 853 points but remained below previous week’s Value & dropped further to 37214 in the A period leaving a long initiative selling tail in the IB clearly indicating that the PLR (Path of Least Resistance) was to the downside. The auction then formed a ‘b’ shape profile for most part of the day before making a late RE to the downside as it left couple of extension handles at 37213 & 37062 and went on to spike lower to 36828 into the close & continued this imbalance on Tuesday with new lows of 36667 in the IB after which it made an attempt to make a RE in the D period but could only manage 36652 and this rejection turned out to get confirmed as a FA (Failed Auction) not just on the daily timeframe but the weekly one too triggering a massive rally for the rest of the day as BankNifty not only negated selling singles of previous day but went on to get back into previous week’s Value and made a high of 38231 leaving a Neutral Extreme (NeuX) Day.
Wednesday open saw a rare follow up to a NeuX profile with new highs for the week being recorded at 38404 as the auction completed the 2 ATR objective from the daily FA of 36652 and saw good profit booking setting in and this led to an OTF (One Time Frame) probe lower till the D period where it made a low of 37762 and left a responsive buying tail in previous day’s mid-profile singles as well as the weekly VAL of 37812 marking the return of fresh demand and a reversal of the probe to the upside even resulting in a RE in the J period as BankNifty tagged 38462 but stalled well below previous week’s POC at 38520 (which was incidentally also the RBI Day low) leaving a responsive tail at top displaying that the supply was overcoming the demand resulting in a new FA being confirmed at 38462 changing the PLR for the rest of the week to the downside which started with an initiative move away from Wednesday’s POC of 38157 on Thusday and saw the completion of the 1 ATR target of 37598 as it made a low of 37425 and continued this imbalance with a lower open on Friday where it hit 37304 but took support just above Tuesday’s VPOC of 37299 leaving a small buying tail in the IB and gave a retracement back to the weekly VAL of 37812 making similar highs there before closing the day around the dPOC of 37571.
The weekly profile is once again a Neutral Centre one with rejection at both ends along with overlapping to lower Value at 37284-37688-38100 with a daily FA at 38462 & the VPOC of 38157 being references on the upside for the coming week where as the daily VPOC of 37299 & this week’s FA of 36652 being the levels to watch on the downside in the coming week.
Weekly Hypos for Bank Nifty (Spot):
A) BankNifty needs a drive from 37613 for a rise to 37709 / 37835 / 37930 / 38157 / 38360 / 38520
B) Accepting below 37565, the auction could test 37393 / 37299 / 37147 / 36896 / 36652 / 36598
C) Above 38520, can expect higher levels of 38665 / 38790 / 38900 / 39095 / 39177 / 39424
D) Below 36598, the auction could fall to 36495 / 36333 / 36206 / 36001 / 35856 / 35710
BNF (Weekly Profile) – 37591 [ 38475 / 36647 ]
BNF opened the week with a huge 792 point gap down and continued to probe lower till the B period on Tuesday where it made a low of 36673 but the attempted RE in the D period resulted in a FA being confirmed at 36647 which in turn triggered a big trending move higher till Wednesday afternoon as it completed the 2 ATR objective of 38371 and made a high of 38475 stopping just short of previous week’s POC of 38480 and confirmed a FA here also marking the end of the upmove for the week. The auction then made a slow probe lower over the next 2 days as it completed the 1 ATR target of 37593 from the FA and even made a low of 37339 on Friday but formed a nice 2-day balance with even the weekly profile resembling a balanced one with overlapping to lower Value at 37256-37808-38112 stuck between the 2 daily FAs at either ends which will be the references for the coming week.