A normal variation day in the Banknifty , a neutral day in the NF and falling US markets ( at IST 9.40 pm ES is 1358 well away from 1377) will set up a panic open for us tomorrow.
Important takeaway from today's market was that the BN refused to go lower and got accepted in the previous day's range with a slightly lower value. The range extension was on the upper side signifying buyer intent.
The NF had a failed auction at 5224 today and quickly went to the other side to look for new buyers and close at the day's DPOC to signify a neutral center day.
The NF after a neutral center day is known to give a trend day like structure the next day. This happens as the market goes from equal strength to a phase when one party exhibits complete control over the other.
Trade in the direction of the breakout tomorrow and any existing positions should be covered/ reversed at the exit of the range