Nifty Spot Weekly Profile (28th Jun to 02nd Jul 2021)
15722 [ 15915 / 15636 ]
Previous week’s report ended with this ‘The weekly profile has formed an inside bar in terms of the range with slightly overlapping to higher Value at 15729-15753-15867 with the daily FA of 15896 being the reference on the upside for the coming week which needs to be taken out for the auction to give a move away from the 3 week balance it has been forming’
Nifty opened with a gap up on Monday above the FA of 15896 and marked new ATH of 15915 but at the same time confirmed an Open Drive Down as it got rejected from these new highs & left an initiative selling tail in the IB (Initial Balance) from 15877 to 15915 which turned the PLR (Path of Least Resistance) for the week firmly to the downside. The auction then went on to complete the 80% Rule in previous week’s Value stalling there as it left similar lows of 15724 on Tuesday & this short term exhaustion to the downside led to a bounce on Wednesday with Nifty making multiple REs (Range Extension) higher but could only make marginal new highs of 15837, 15838 & 15839 which indicated that there was no fresh demand coming in and this triggered a fresh move lower as the sellers came back aggresively leaving an extension handle at 15769 and went on to form new lows for the week at 15709 leaving a Neutral Extreme profile down and followed it up with lower Value on Thursday where it tagged 15667 and continued this imbalance with lower lows of 15649 in the IB on Friday. The auction then made an attempt to break lower in the ‘D’ period but was rejected from 15636 which was just above the buying extension handle of 15634 (21st June) which marked the end of the downside probe as Nifty went on to make multiple REs to the upside confirming a FA at lows closing the week right at the monthly POC of 15721.
The weekly Value was once again mostly overlapping at 15702-15822-15840 continuing the balance for the 4th consecutive week as the move away on both sides was rejected first by a selling tail at top from 15877 to 15915 and then on the downside with a FA at 15636. The immediate reference on the upside above 15721 would be the extension handle of 15769 above which we have the daily VPOC of 15827 whereas on the downside, the HVN of 15708 would be the level to watch along with the FA at lows.
Weekly Hypos for Nifty (Spot):
A) Nifty needs a drive above 15744 for a probe to 15784 / 15829 / 15870 / 15933 / 15975 / 16008 / 16044
B) Accepting below 15708 could lead to a test of 15665 / 15634 / 15599 / 15546 / 15504 / 15451 / 15395
NF (Weekly Profile) – 15741 [ 15930 / 15659 ]
Previous week’s report ended with this ‘The weekly profile itself was also a balance as it remained completely inside previous week with slightly overlapping to higher Value at 15768-15825-15895 and would need initiative volumes to start a fresh imbalance in the coming sessions with the daily VPOC of 15932 being the reference on the upside whereas 15825 being the level to watch on the downside’
NF opened higher on Monday but could not take out the higher VPOC of 15932 (15th June) as it left an initiative selling tail in the IB (Initial Balance) from 15905 to 15930 and got back into previous week’s Value forming a ‘b’ shape profile while making a low of 15825 and continued this probe lower on Tuesday with another ‘b’ shape profile as it tested the weekly VAL of 15768 while making a low of 15759. The lack of follow up selling then led to a bounce on Wednesday as the auction left an initiative buying tail in the IB and probed higher for the first couple of hours tagging Monday’s prominent POC of 15863 and making a high of 15876 after which it coiled in a narrow range of 35 points before the break of VWAP in the late afternoon led to a big liquidation move into the close resulting in an extension handle at 15792 and new lows for the week at 15737 as NF left a Neutral Extreme Down Day. Thursday saw the auction remain below 15792 forming lower Value with yet another ‘b’ shape profile for the week once again highlighting lack of selling at the new lows of 15696 and though the sellers made one last attempt on Friday morning with an Open Test Drive hitting new lows of the week at 15665 in the IB, it once again struggled to give a meaningful RE as the break lower in the ‘D’ period got stalled right above the VPOC of 15657 (21st June) after which NF went on to confirm a FA at 15659 and closed the day around the highs ending the week with a 2-day balance. The weekly Value is overlapping to lower at 15722-15856-15878 with a HVN at 15785 which will be the immediate reference in the coming week on the upside.
BankNifty Spot Weekly Profile (28th Jun to 02nd Jul 2021)
34810 [ 35577 / 34632 ]
Previous week’s report ended with this ‘The weekly profile has an initiative tail at bottom and overlapping to higher Value at 34544-34752-35136 with a close well above the Value which means the upside probe could continue in the coming week towards the weekly FA of 35546 and recent swing high of 35811 whereas the buying extension handle of 35286 & 35151 would be the levels to watch below which BankNifty could get back to that ultra prominent POC of this week at 34752′
BankNifty opened with a gap up on Monday and went on to tag the weekly FA of 35546 but got swiftly rejected from this positional reference as it confirmed an ORR (Open Rejection Reverse) start to the week leaving an initiative selling tail in the IB (Initial Balance) from 35435 to 35577 and formed a long liquidation ‘b’ shape profile for the day where it tested the first of the buying extension handles of 35286 and made similar lows at 35240 along with a prominent POC at 35340 and continued this imbalance to the downside with an OTD (Open Test Drive) start on Tuesday as the auction left yet another initiative selling tail in the IB from 35200 to 35337 and formed another ‘b’ shape profile as it took out the lower extension handle of 35151 and made lows of 34914. Wednesday saw an OAIR (Open Auction In Range) start as the sellers took a breather after 2 strong opens and for the first time in the week there was a higher RE (Range Extension) made with BankNifty testing the previous day’s initiative singles but got swiftly rejected from 35215 resulting in fresh liquidation and a Neutral Extreme Down Day as the auction tagged the prominent weekly POC of 34752 and formed a balance around it on the last 2 days staying in an unusual narrow range of just 265 points after making similar lows on both the days in the 34650-34635 zone taking support in the buying tail of 24th June.
The weekly profile has a tail at top and represents a long liquidation profile with overlapping Value at 34656-34784-35120 with the magnet of 34752 getting stronger with the overlapping weekly POC shifting there and would need an initiative move away from here for a fresh imbalance to begin. The immediate upside references are the daily VPOCs of 35068 & 35340 apart from the selling tail of 35435 to 35577 whereas on the downside, the extension handle of 34486 & the VPOC of 34296 ( 21st June) will be the levels to watch out for along with the buying tail from 34153 to 33937.
Weekly Hypos for Bank Nifty (Spot):
A) BankNifty needs a drive from 34853 for a rise to 34970 / 35068 / 35160 / 35251 / 35340 / 35436 / 35546
B) Accepting below 34785, the auction could test 34647 / 34544 / 34486 / 34393 / 34296 / 34153 / 34039
Extended Weekly Hypos
C) Above 35546, can expect higher levels of 35630 / 35775 / 35853 / 35988 / 36163 / 36233 / 36381 / 36504
D) Below 34039, the auction could fall to 33908 / 33833 / 33685 / 33560 / 33447 / 33306 / 33200 / 33101
BNF (Weekly Profile) – 34951 [ 35700 / 34760 ]
Previous week’s report ended with this ‘The weekly profile is once again an elongated one forming an outside bar with overlapping to higher Value at 34734-34902-35294 and has closed way above the VAH which means the PLR (Path of Least Resistance) for the coming week would be to the upside′
BNF continued previous week’s imbalance with a 200 point gap up giving a look up above the highs of 35665 but formed an OH (Open=High) at 35700 and confirmed an ORR (Open Rejection Reverse) start to the week which led to lower lows being formed after building volumes at 35498 on Monday on the rest of the 4 days as it made lows of 34760 on Friday taking support just above the weekly VAL and forming a nice 2-day Gaussian Profile. This week’s Value has made an inside bar at 34790-34908-35294 and would need some initiative volumes to move away from the overlapping POC of 34900 in the coming week.