Nifty Spot Weekly Profile (23rd to 27th May 2022)
16352 [ 16414 / 15904 ]
Previous week’s report ended with this ‘The weekly profile is a Normal Variation one to the upside though the Value has overlapping to lower at 15762-15840-16212 with a close around the HVN of 16248 which will be the immediate reference for the coming session & the ability to sustain above it could bring a move to the daily VPOC of 16340 along with the FA of 16404 above which we have the selling singles from 16482 to 16651 where as on the downside, staying below 16248 the auction could fill up the low volume zone till lower HVN of 15943 & the the weekly POC of 15834’
Nifty continued last Friday’s imbalance close as it started the week with an OTF (One Time Frame) move higher till the I period even making a look up above previous week’s high & the FA of 16404 but could only manage 16414 and confirmed a selling tail from 16393 to 16414 to signal the PLR (Path of Least Resistance) changing to the dwonside & went on to leave the first of the NeuX (Neutral Extreme) Days of the week while making a low of 16185 into the close.
The auction continued the down move over the next 3 days as it first left a well balanced profile with completely lower Value & a prominent POC at 16166 on Tuesday and then gave a move away from here with an initiative selling tail on Wednesday leading to a DD (Double Distribution) Trend Day Down with the dPOC in the lower part at 16062. Thursday saw another big selling tail in the IB which was followed by a rare & huge C side extension lower as Nifty tagged previous week’s HVN of 15943 and went on to make couple of more REs as it made new lows for the week at 15904 but the range had begun to contract suggesting that the downside was getting limited & this triggered a huge short covering rally to 16204 into the close resulting in the second NeuX Day for the week but this time to the upside.
Friday saw a rare follow up to a NeuX profile as Nifty opened higher for the 6th consecutive day and took support just below the Gap Mid-point of 16231 as it made a low of 16222 & formed the third NeuX Day of the week as it went on to tag Monday’s VPOC of 16370. The weekly profile trended lower for most part after getting rejected from the FA of 16404 but has bounced back sharlpy from the HVN of 15943 and is still almost a Double Inside bar in terms of the range and has formed a nice balance with overlapping Value at 16110-16146-16362 with a very good chance of giving a move away from this 3-week bracket in the coming week(s).
Weekly Hypos for Nifty (Spot):
A) Nifty needs a drive above 16362 for a probe to 16414 / 16455 / 16484 / 16549 / 16624 / 16674
B) Accepting below 16340 could lead to a test of 16288 / 16230 / 16164 / 16110 / 16063 / 16012
C) Above 16674, can expect higher levels of 16754 / 16835 / 16897 / 16945 / 17016 / 17065 / 17133/span>
D) Below Below 16012, the auction could fall to 15971 / 15926 / 15840 / 15782 / 15739 / 15671 / 15632
NF (Weekly Profile) – 16327 [ 16395 / 15892 ]
NF opened the week with a probe above previous highs of 16362 but got rejected as it left a selling tail from 16368 to 16395 on Monday and made a trending move lower till Thursday afternoon where it completed the weekly 2 IB objective of 15977 & went on to make a low of 15892 taking support above previous week’s POC of 15844. The auction then reversed the probe to the upside giving a bounce back to 16349 on Friday before closing the week around the HVN at 16320. Value for the week was overlapping to higher at 16004-16140-16264.
BankNifty Spot Weekly Profile (23rd to 27th May 2022)
35613 [ 35695 / 34116 ]
Previous week’s report ended with this ‘The weekly profile looks like a Double Distribution one to the upside with a small tail at lows from 33185 to 33002 along with a low volume zone between the 2 TPO HVNs in the lower & upper distributions at 33576 & 34260 respectively and needs an initiative move away from one of them for a move away from this new 2-week balance. Value was overlapping to lower at 33276-33576-34176’
BankNifty opened the week with an initiative move away from just above the higher HVN of 34260 as it not only left a buying tail from 34506 to 34271 but went on to probe above previous week’s high & tag the weekly FA of 34793 but met with supply in this zone as it left a responsive selling tail triggering a huge liquidation move which in turn resulted in a NeuX Day Down as it made a low of 34117. The auction rejected this NeuX close on Tuesday as it made a look down below 34117 but left an initiative buying tail forming a Normal 3-1-3 balanced profile for the day with a prominent POC at 34355 and continued to move higher on Wednesday where it just managed to tag Monday’s VPOC of 34719 and confirmed a FA at 34722 giving the second NeuX Day Down for the week at it made a low of 34285 into the close.
This NeuX close also was rejected as Thursday gave a gap up open and made a high of 34720 stalling just below the FA of 34722 reversing the probe to the downside making couple of REs in the C & D periods but could only manage a low of 34424 indicating poor trade facilitation and exhaustion of sellers which led to a huge short covering move as BankNifty left an extension handle at the important level of 34720 and made a trending move into the close to 35222 leaving the third NeuX Day of the week confirming a weekly FA at 34116 and continued this imbalance with another higher open on Friday as it completed the 1 ATR objective of 35436 from the negated FA of 34722 and got into the 5th May NeuX profie making a slow probe higher to the monthly POC of March 2022 which was at 35648 while making a high of 35695 and formed a balanced 3-1-3 profile to close the week at 35620.
The weekly profile is a Neutral Extreme one to the upside which started with a balance being formed for the first 3.5 days which had a prominent POC at 34416 and then a move away to the upside in the second half of Thursday where it took out the old selling extension handle of 35133 and formation of another small balance on Friday. This week’s Value is completely higher at 34212-34416-34752 and has closed well above it so staying above Friday’s POC of 35620, BankNifty looks good to go for the weekly VPOCs of 35904 & 37728 with the old FA of 36309 along with the HVN of 36490 being important references in between whereas on the downside, the immediate reference would be the buying singles from 35378 to 35135.
Weekly Hypos for BankNifty (Spot):
A) BankNifty needs a drive from 35620 for a rise to 35798 / 35904 / 36085 / 36309 / 36490 / 36642
B) Accepting below 35568, the auction could test 35378 / 35211 / 35135 / 34946 / 34720 / 34596
C) Above 36642, can expect higher levels of 36796 / 36914 / 37143 / 37301 / 37430 / 37588 / 37728
D) Below 34596, the auction could fall to 34477 / 34344 / 34180 / 33940 / 33799 / 33627 / 33510
BNF (Weekly Profile) – 35631 [ 35725 / 34162 ]
BNF has formed a Neutral Extreme profile to the upside on the weekly timeframe as it confirmed a FA at lows of 34162 & has formed mostly higher Value at 34248-34432-34824 with a close around the HVN of 35624. The weekly profile has a zone of buying singles from 35403 to 34985 which will be the reference on the downside whereas staying above 35624, the auction could go for a test of the VPOC of 36032 which will also complete the 1 ATR objective from this week’s FA.