Evening report trade dated 19th Aug

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The Nifty Value is centered around 8660 for the past 3 weeks and last week we put in a very small range of 100 points. The formation is ripe for a breakaway move . The sellers are holding strongly at 8700 now but the Buyers are marching higher from 8600 to a strong defense of 8650 on Friday.

 

There is news in the market for Monday’s Open. Pete Steidlmayer used to say that there are 3 kinds of events which affect the market – 1) expected, 2) unexpected and 3) surprise 

 

An expected event is priced in by the market and there would be no change in range or value

An unexpected event is not accurately factored and price moves away from value and the catch up between value and price happens after a session or more and in hindsight, you would note a new trend has begun

A Surprise event is a random response of the market  and if price moves away from value ‘cos of the event, it tends to come back to it quickly and as soon as the event is “dead”.

NIFTY Aug F: 

 

Nf_compo1

 

 

 

Weekly levels: We have done a review on weekly charts at: http://vtrender.com/nifty-bn-weekly-view-spot-for-16th-aug-19th-aug/

Background / Previous Auctions :

#) The NF was a Normal Variation day

#) vwap of the session was at 8677 with volumes of 70 L in a session which traded an 8703-8650 range of 53 points

#) Day POC was at 8678,  at the same zone as  seen in the previous sessions

#) The auction has built a POC and vwap at 8668- 8678 for the current Aug settlement. 

#) Today’s Volume was below the  median of the past 5 sessions.

#) Value areas are at  8688-8676-8664– for the session next. 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.

 

 

BankNifty Aug F:

BNF_compo

 

 

Weekly levels: We have done a review on weekly charts at: http://vtrender.com/nifty-bn-weekly-view-spot-for-16th-aug-19th-aug/

Background/ Previous Auctions :

 

#) The BNF was a Normal Day

#) vwap of the session was at 19392 with volumes of 24 L in a session which traded a 19461-19323  range of 138 points

#) day POC was at 19395 levels 

#) The POC for the Aug settlement is currently at 19030 levels with vwap of 18886

#) Value areas are at  19415-19395-19360– for the session next. 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