Nifty Spot Weekly Profile (17th – 21st Dec)
Nifty started the week with a gap up which sustained above previous week’s high on Monday but was stuck in a very small range indicating that the trade facilitation at new highs was poor & that Nifty may want to first test the previous week’s high which it promptly did this by giving a gap down on Tuesday & probing lower entering the previous week’s range but was rejected at the uppermost balance of the weekly at 10815-10770 (given in previous week’s report) from where it again started to trend higher & this time with better trade facilitation & increasing range to close at highs on that day & followed up with a gap up on Wednesday making new highs on the monthly time frame which it sustained & closed at highs on Wednesday too. The next day was a big Gap down but also a OL (Open=Low) start around the 10880 levels from where Nifty probed higher to close the gap & closed in a spike higher. On Friday, Nifty opened just below the spike & tried to enter back but got rejected & gave an early extension handle at 10925 to indicate that the PLR is now strongly to the downside & ended up in a Trend Day Down giving a Neutral Extreme Profile (Down) on the weekly with the Neutral Extreme reference from 10738-10790 & a weekly bearish extension handle at 10811. Above it, Nifty has a nice balance on weekly with Value Area at 10820-10860-10932. Nifty has all singles below 10745 till 10680 so staying below 10738 can target 10680 & on the upside, Nifty has to sustain above 10820 for a move to 10860 in the coming week which will be the last week for the year 2018.
NF (Weekly Profile)
NF opened & stayed above the previous week’s wide POC of 10820 for most part of the week making a nice balance with mostly higher Value but broke away from the balance on Friday leaving a Neutral Extreme Profile on weekly with an extension handle exactly at that 10820 & a spike close at 10804-10755. It has closed in the previous week’s spike higher of 10708-10771 so staying below 10771 can look to test that extension handle of 10708 & lower. On the upside, NF will first need to get above 10805-820 & then stay above 10845 for a possible tag of 10890. The weekly Value Area is 10842-10890-10950.
BankNifty Spot Weekly Profile (17th – 21st Dec)
BN Spot opened with a gap up on Monday (17/12) & got above the weekly VAH of 26935 & made higher Value but gapped lower on Tuesday (18/12) getting back into the previous week’s range & value before getting rejected at 26840 where it left a FA & reversed the auction to the upside tagging the 1 ATR move of 27125 on the same day with the a close at highs & looked set to tag the 2 ATR target of 27410 but the auction got stalled on 19/12 where BN made a very narrow range & balance with a high of 27364 which got confirmed as a multi-day FA on Thursday (20/12) when it gapped down & probed lower but just fell short of the 1 ATR target of 27065 and it made another nice balance for the day though the Value formed was lower. On Friday (21/12), BN opened in previous day range & made an attempt to move higher getting above previous day high & even making a new weekly high of 27369 just above that FA of 27364 but was rejected from there indicating that the FA was still in force & this new rejection triggered a trending move down in BN & this time it completed the 1 ATR move of 27065 & went on to make new weekly lows breaking below the earlier FA of 26840 but closed just above it. On the weekly, BN has made Value higher but has a Neutral Extreme profile down with close in the lowest quadrant & just near previous week’s prominent VPOC of 26800 below which we have a low volume zone till the other HVN of 26230 which can get filled with probable supports at extension handles of 26518 & 26335. On the upside, BN has immediate resistance at 26865 & 26925 and for more upside it needs to get above the high volume cluster of 27000-27040. This week’s Value Area is 26865-27000-27205.
BNF (Weekly Profile)
BNF has made higher Value for the week though we had rejection in it at highs of 27425 with a HVN at 27352 from where it trended lower on Friday engulfing the entire week’s range going on to make new lows for the week at 26888 finding support just above the previous week’s POC of 26880. The weekly profile looks like a DD with a nice distribution at top of 27216-27392 & a lower distribution at 27105-26950. BNF gets weak below 26880 and could test 26770 & 26580 on probe lower. As for the upside, staying above 26950 BNF could balance in the zone of 26980-27100. The weekly Value Area is 26928-27088-27280.
