Nifty Spot Weekly Profile (17th to 21st May 2021)
15175 [ 15190 / 14725 ]
Previous week’s report ended with this ‘The weekly profile is a Trending One to the downside with multiple distributions as can be seen with daily VPOCs being left at 14753, 14840 & 14937 though the Value for the week was slightly overlapping to higher at 14615-14685-14835. The auction needs to sustain above 14685 in the coming week for any upside probe towards the 3 daily VPOCs as mentioned above failing which it could continue lower towards the weekly VPOCs of 14560 & 14315 with a daily VPOC at 14399 being an important level in between’
Nifty opened with a gap up on Monday well above the previous week’s POC of 14685 and probed higher all day moving away from the weekly Value as it left couple of extension handles at 14824 & 14886 and went on to tag the 3 higher daily VPOCs of 14753, 14840 & 14937 it had left last week forming a Trend Day Up and continued this imbalance on Tuesday with a big gap up of 144 points as it not only scaled above previous week’s high but went on to negate the weekly FA & positional reference of 15052 while making new highs for the week at 15124 in the IB (Initial Balance). The auction however struggled to extend further as it could only make marginal new highs of 15137 inspite of making multiple REs (Range Extension) leaving a ‘p’ shape profile for the day with a prominent POC at 15110 and confirmed exhaustion in the upmove as it left poor highs at 15133 in the IB on Wednesday triggering a fresh leg lower as it went on to make a low of 15009 for the day and continued the probe down on Thursday with an initiative selling tail in the IB which was followed by a spike into the close as Nifty not only closed the gap singles of Tuesday but went on to test the Trend Day’s extension handle of 14886 as it made a low of 14885. This successful test got the buyers back resulting in a gap up open on Friday as the auction not only rejected previous day’s spike close but went on to leave a large buying tail in the IB clearly indicating that the PLR (Path of Least Resistance) for the week was back to the upside as Nifty made an OTF (One Time Frame) probe higher till the ‘E’ period where it hit 15118 after which it gave a small retracement to 15076 in the ‘I’ period and followed it up with a fresh RE higher triggering a big move into the close as it made new highs for the week at 15190 before closing the week at 15175.
The weekly profile represents a composite ‘p’ shape with completely higher Value at 14990-15090-15130 and a small spike close from 15137 to 15190 which would be the zone to watch at open for the next session. This week’s ultra prominent POC of 15090 would be the important level to hold on any dip in the coming week whereas on the upside, Nifty has the 12th March selling extension handles of 15196 & 15262 as important references.
Weekly Hypos for Nifty (Spot):
A) Nifty needs a drive above 15196 for a probe to 15262 / 15303 / 15340 / 15376 / 15413 / 15460 / 15501
B) Accepting below 15175 could lead to a test of 15137 / 15090 / 15040 / 14996 / 14947 / 14898 / 14863
NF (Weekly Profile) – 15206 [ 15225 / 14744 ]
NF opened above previous week’s HVN of 14718 and gave a Trend Day Up on Monday as it made a high of 14960 stalling just below the higher HVN of 14984 which was eventually taken out with the help of a big gap up of 128 points on Tuesday as the auction recorded new highs for the series at 15153 in the IB but formed a Normal Day indicating exhaution in the up move and led to a retracement over the next 2 days as it went on to tag the Trend Day VPOC of 14953 & tested the buying extension handle of 14919 on Thursday with the help of a spike down. This spike however got rejected as the Trend Day demand returned in form of a late Drive Up on Friday as NF made an OTF (One Time Frame) move higher for the first couple of hours after which it built volumes around the 15120 zone before making another surge higher in the last couple of hours as it left an extension handle at 15175 and spiked higher to 15225 into the close leaving a composite ‘p’ shape weekly profile with completely higher Value at 14988-15117-15159. The immediate zone to watch in the coming week would be 15175 to 15225 and on the downside 15117 would be the important level to hold for the PLR to remain Up.
BankNifty Spot Weekly Profile (17th to 21st May 2021)
34607 [ 34694 / 32319 ]
Previous week’s report ended with this ‘The weekly profile is a trending one to the downside closing around the lows after it began the week with a look up above previous Value and got rejected. Value for this week was overlapping to lower at 32130-32620-32880 and the auction would continue to remain weak below 32241 in the coming week for a probe towards the weekly VPOC of 31515 and the daily extension handle of 31074 from 22nd Apr whereas on the upside, BankNifty would need to get good buying above 32241 for a move towards the VPOCs of 32620, 32853 & 33172 in the coming week′
BankNifty opened higher on Monday & took support just above the first reference of 32241 and went on to leave a long intiative buying tail in the IB from 32680 to 32319 indicating strong upside bias which continued for the rest of the day resulting in couple of extension handles at 33200 & 33280 as it scaled above previous week’s high & made a high of 33507 leaving a Trend Day Up and continued this imbalance with another big gap up on Tuesday recording new high for the week at 34143 as it got into the 29th April profile but stalled right at the start of the initiative selling tail of that day which was from 34135 to 34287. The auction then made a probe lower to 33730 in the IB and formed a Normal Day leaving a nice Gaussian profile with a prominent POC at 33964 giving more confirmation of the imbalance to the upside coming to an end and followed it with a lower open on Wednesday where it left yet another Normal Day but formed lower Value. Wednesday saw an OAIR start as BankNifty continued to form Value in previous day’s balance but for the third consecutive day, left a selling tail in the IB indicating that the immediate PLR (Path of Least Resistance) was to the downside and the same was confirmed with a late RE lower in the H period which led to a spike into the close as the auction went on to tag the Trend Day extension handle of 33280 leaving a spike from 33438 to 33274. This spike got completely rejected with a gap up open on Friday as BankNifty swiped through previous Value with the help of another long buying tail from 33907 to 33560 resuming Monday’s trend as it went on to make marginal new highs of 34152 for the week in the ‘E’ period bringing a small pause to the up move from as it gave a pull back to 33935 in the ‘I’ period before making the final assault of the week as it launched a booming move into the close leaving a buying extension handle at 34156 and successfully taking out the 2 month old weekly selling extension handle of 34404 and the VPOC of 34500 (from 15th to 19th March) as it made a high of 34694 into the close.
The weekly profile resembles a perfect ‘p’ with an elongated stem from 33500 to 32319 and completely higher Value at 33540-33930-34170. This week’s buying extension handle of 34142 would be the important level on the downside for the coming week(s) with the immediate reference being 34598 below which we have the singles of 34452 to 34152 whereas on the upside, the HVN of 34745 from 17th March will be the first hurdle above which BankNifty could continue this rise towards the daily VPOCs of 35111 & 36233 with the weekly VPOC of 35715 sanwiched in between in the coming days.
Weekly Hypos for Bank Nifty (Spot):
A) BankNifty needs a drive from 34647 for a rise to 34745 / 34875 / 35014 / 35111 / 35246 / 35370 / 35572
B) Accepting below 34597, the auction could test 34452 / 34320 / 34156 / 34062 / 33930 / 33833 / 33685
Extended Weekly Hypos
C) Above 35572, can expect higher levels of 35715 / 35820 / 35988 / 36111 / 36233 / 36381 / 36480 / 36655
D) Below 33685, the auction could fall to 33540 / 33447 / 33200 / 33101 / 32988 / 32839 / 32740 / 32620
BNF (Weekly Profile) – 34763 [ 34855 / 32366 ]
BNF opened the week higher & sustained above the twin references of 32313 & 32402 as it moved away from previous week’s POC of 32648 with the help of an initiative buying tail in the IB on Monday from 32739 to 32366 and probed higher all day as it swiped through previous week’s Value & Range as it not only tagged the higher daily VPOCs of 32925 & 33306 but went on to hit the daily FA & positional reference of 33599 leaving a massive 1239 point Trend Day Up and continues this move on Tuesday with a gap up and a probe higher in the ‘A’ period where it made new highs for the week at 34244. However, the auction left a small selling tail in the IB on Tuesday indicating the end of the probe higher and made a retracement lower over the next 3 days as it broke below the Trend Day VPOC of 33545 and the stopped just above the buying extension handle of 33362 while making a low of 33387 on Thursday as it closed in a spike down but with the dPOC shifting lower to 33486 into the close. Friday saw a repeat of Monday’s auction as the week ended the same way it opened giving a huge 1265 point move on the upside after opening with a gap up as it remained above the yPOC and left another big initiative buying tail from 33990 to 33590 in the IB and made new highs for the week after forming a HVN at 34186 followed by another buying extension handle at 34265 from where it made a jump of almost 600 points into the close to hit 34855 closing the week in an imbalance. The weekly profile represents a ‘p’ shape with completely higher Value at 33572 -33770-34232 which indicates short covering but the extension handle of 34244 confirms initiative buying also and would be the positional reference point in the days to come on any dip. The immediate singles of 34730 to 34635 would be the zone to watch at open in the coming week whereas on the upside sustaining above 34930 could see the imbalance continue towards 35561 & 36450.