Nifty Spot Weekly Profile (31st May to 04th Jun 2021)
15670 [ 15733 / 15374 ]
Previous week’s report ended with this ‘The weekly profile is a trending one to the upside with higher opening on all 5 days as well as higher highs & lows allbeit in a relatively narrow range of 324 points as Nifty gets accepted in this unchartered territory and the close around the highs suggest the probe higher could continue in the coming week if the auction sustains above 15433. The daily FA’s of 15395 & 15272 would be the references on the downside along with this week’s Value of 15180-15210-15330’
Nifty opened right at the reference of 15433 and made a swipe lower to 15374 in the ‘A’ period on Monday negating the first FA of 15395 but was not only swiftly rejected as it left an initiative buying tail from 15439 to 15395 but went on to leave a buying extension handle at 15450 indicating the presence of aggressive demand which led to a trending move higher all day as the auction made a high of 15606 and continued this imbalance with a gap up on Tuesday marking new ATH of 15661 in the ‘A’ period but saw some profit booking coming in as it got back into previous day’s range & value forming a ‘b’ shape long liquidation profile for the day with a close around the prominent dPOC of 15575. Wednesday then saw a gap down open after which Nifty got rejected from just below the prominent POC of 15575 in the ‘A’ period confirming that the PLR (Path of Least Resistance) for the day was to the downside and even made multiple REs (Range Extension) lower but the sellers struggled to make any meaningful impact as they could only manage to tag 15460 and Monday’s aggressive buyers of 15450 seized this opportunity triggering a short covering squeeze into the close resulting in a Neutral Extreme Up Day as the auction not only closed around the highs of 15597 but went on to open with a big gap up on Thursday as it made new highs for the week at 15693 in the A’ period. However, the new highs once again saw profit booking by the longs visible in the singles at top in the A period after which the probe continued lower till the ‘I’ period where it made a low of 15611 and left a responsive buying tail at lows signalling that the end down move and similar to the previous session, Nifty once again spiked higher into the close as it tagged 15705 leaving a second consecutive Neutral profile and followed it up with a higher open on Friday but the similar highs of 15733 in the ‘B’ & ‘C’ periods indicated exhaustion coming in the upmove as the auction then probed lower for the rest of the day and made a low of 15622 in the ‘J’ period testing previous day’s buying tail and bouced back to close the day right at the dPOC of 15670 to leave a hat-trick of Neutral Days along with a 2-day balance to end the week.
The weekly profile represents a ‘p’ shape with completely higher Value at 15530-15650-15700 and apart from the POC of 15650 has 2 other prominent HVNs at 15571 & 15500 which would be the important references on the downside whereas sustaining above 15733, Nifty could continue the probe higher towards 15875 & 16008 in the coming week.
Click here to view this week’s auction in Nifty with respect to the previous week on MPLite
Weekly Hypos for Nifty (Spot):
A) Nifty needs a drive above 15685 for a probe to 15734 / 15785 / 15820 / 15876 / 15940 / 15975 / 16008
B) Accepting below 15656 could lead to a test of 15625 / 15571 / 15530 / 15490 / 15439 / 15395 / 15348
NF (Weekly Profile) – 15701 [ 15756 / 15410 ]
NF opened below the prominent dPOC of 15464 and probed lower taking support just above the weekly HVN of 15392 as it made a low of 15410 & left an initiative buying tail in the IB (Initial Balance) indicating that the PLR for the week would be to the upside as it made a trending move higher for the rest of the day and continued this imbalance with a gap up open on Tuesday as it hit 15660 which saw some responsive selling as the auction left similar highs in the IB which in turn led to a retracement to 15502 till Wednesday afternoon where it confirmed a FA (Failed Auction) on the daily timeframe closing the day with a NEuX (Neutral Extreme) Up profile. Thursday open saw continuation of the previous day’s imbalance as NF tagged new highs for the week at 15704 and the probe lower onnce again resulted in swift rejection as it left a responsive buying tail from 15659 to 15635 and formed back to back NeuX days closing around the new highs of 15720 and continued this probe higher at open on Friday where it tagged 15750 in the IB but the dreaded C side extension got some laggard buyers stuck resulting in a FA being confirmed at 15756 as the auction probed lower for most part of the day leaving similar lows of 15656 & 15654 signifying return of demand in the previous day’s buying tail casuing a bounce back to 15713 into the close. The weekly profile has formed completely higher Value at 15558-15684-15726 with a close near the POC which would be the immediate reference for the coming week along with the 2 FAs of 15756 & 15502 on either side.
BankNifty Spot Weekly Profile (31st May to 04th Jun 2021)
35291 [ 35811 / 34930 ]
Previous week’s report ended with this ‘The weekly profile is a relatively narrow range one which has poor lows with completely higher Value and an ultra prominent POC at 34810 which will act as a magnet if BankNifty stays below 35145 where as on the upside the auction would need to sustain above the March monthly POC of 35263 for a probe towards the weekly VPOC of 35715 & the daily one of 36233′
BankNifty also opened lower but was swiftly rejected from previous week’s Value as it left an initiative buying tail from 35167 to 34930 in the IB (Initial Balance) on Monday which meant that the PLR (Path of Least Resistance) of the auction is up towards the weekly VPOC of 35715 and which it almost tagged in a gap up open on Tuesday where it made a high of 35714 but could not extend further and this led to a long liquidation ‘b’ shape profile for the day with a close around the prominent POC of 35340. Wednesday saw a lower open but BankNifty took support in the buying tail of Monday after making a low of 35070 and settled down into an OAOR (Open Auction Out of Range) forming a nice balance in a very narrow range of 208 points for most of the day as it formed another prominent POC at 35181 before spiking higher into the close to hit 35416 and continued this imbalance with a higher open on Thursday but once again confirmed an OAOR start and made an even more narrower range of 198 points for most part of the day before it made a late RE (Range Extension) to the upside in the ‘J’ period forming a high of 35724. Friday saw the continuation of the probe higher in the IB resulting in new highs for the week at 35811 but the inability to extend further led to a long liquidation move to 35176 where it took support at Wednesday’s POC of 35180 before closing the day at 35291.
The weekly profile has an initiative buying tail from 35070 to 34930 but has formed a nice Gaussian Curve in a narrow range over the 5 days with completely higher Value at 35190-35340-35550 as the auction even managed to tag the weekly VPOC of 35715 but will need to sustain above it in the coming week and negate the selling singles till 35988 from 12th Mar to be able to continue higher towards the VPOC of 36233 and the higher extension handle of 36504.
Click here to view this week’s auction in BankNifty with respect to previous week’s profile on MPLite
Weekly Hypos for Bank Nifty (Spot):
A) BankNifty needs a drive from 35340 for a rise to 35500 / 35630 / 35775 / 35853 / 35988 / 36163 / 36233
B) Accepting below 35273, the auction could test 35115 / 34951 / 34810 / 34690 / 34530 / 34410 / 34300
Extended Weekly Hypos
C) Above 36233, can expect higher levels of 36381 / 36504 / 36655 / 36756 / 36961 / 37181 / 37331 / 37480
D) Below 34300, the auction could fall to 34156 / 34062 / 33930 / 33833 / 33685 / 33447 / 33200 / 33101
BNF (Weekly Profile) – 35508 [ 35961 / 35063 ]
BNF began the week with an open below the HVN of 35395 as it went on to make a low of 35063 in the ‘A’ period but left an initiative buying tail from 35280 to 35063 in the IB indicating that it wants to move away from previous week’s Value and the auction then made an OTF (One Time Frame) move higher post the ‘D’ side pull back to VWAP as it made a high of 35650 and continued this imbalance with a gap up open on Tuesday above previous week’s high as it recorded new highs for the series at 35797 in the ‘A’ period but that also marked the end of the probe higher as a small responsive selling tail was confrimed triggering a long liquidation move down to 35180 in the A period on Wednesday and this defense of previous week’s VAH meant that the buyers were coming back. BNF then not only spiked higher into the close but went on to gap up on Thursday as it made a high of 35740 but once again stalled near the resposive selling tail of Tuesday as both the buyers & sellers were fighting it out here and the auction even made a RE to the downside in the ‘I’ period but was swiftly rejected as the buyers took control and went on to make new highs for the week at 35890 and in the process confirming a FA at 35553. Friday saw an open in the Neutral Extreme zone as BNF went on to make new highs for the week at 35961 in the ‘B’ period but left a small but important tail at top resulting in a long liquidation move for the day as it made multiple REs lower negating the FA of 35553 and went on to make a low of 35350 forming a ‘b’ shape profile for the day. The weekly profile has formed a perfect Bell Curve with higher Value at 35350-35500-35670 with a close right at the centre of the balance so there is a good chance for a move away from here in the coming week.