Evening report trade dated 07th Jan

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We gapped below a neutral extreme in a market which was already in imbalance. A gap is single prints in Market Profile and the trend day seen post the gap reaffirms the bearish sentiment.It’s getting risky to launch new short positions but the index is not showing signs of the downtrend ending yet.Nf_compo1 1

 

Background / Previous Auctions :

Weekly levels: We have done a review on weekly charts at:  http://vtrender.com/nifty-bn-weekly-view-spot-for-04-jan-08-jan16/

(based on Fut prices)

#) The NF was a trend down day

#) Vwap of the session was at 7613 with volumes of 166.5 L in a session which traded a 7687-7570 range of 117 points

#) Day POC moved to 7582 in the closing 20 mins of the session

#) We are noting heavier volumes in the selloff than the corresponding rise in Dec from the same points

#) The NF shows rejection of Friday’s upper distribution and a reconfirmation of the selling seen near 7980 spot last month

#) The composite POC at 8022 from dec still holds the bias 

#) The auction has resistance at 7637 immediately up and should target 7482 next.

#) Value areas are at  7629-7578-7572– for the session tomorrow. For using value areas effectively visit:http://vtrender.com/popular-market-profile-trading-setups/

#) Discl – When we mention Buyers/ Sellers we point to and infer aggressive players.

 

 

K.R.A is 8032 F ( K.R.A= key reference area) 

and the trend is down on the shorter time frame

 

 

BankNifty Dec F:

 

BNF_compo

Background/ Previous Auctions :

Weekly levels: For Banknifty we have updated a spot auction view with a chart at:  http://vtrender.com/nifty-bn-weekly-view-spot-for-04-jan-08-jan16/

Observations in Today’s/ Previous sessions:

(based on Fut prices)

#) The BNF was also a trend down day

#) Vwap was at 16153 with volumes of 31.5 L in a session which traded a 16344-16058 range of 286 points

#) day POC was at 16088 levels 

#) Index is weak and has support at 16033 spot for now 

#) Value areas are at 16200-16088-16088 for bias. . For using value areas effectively visit: http://vtrender.com/popular-market-profile-trading-setups/

 

K.R.A is 17210 F  ( K.R.A= key reference area)

 

 Trend is down in the shorter time frame

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